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In recent years, India has firmly established itself as a global hub for Global Capability Centers (GCCs), traditionally dominated by large multinational corporations. However, a quiet revolution is underway. Mid-market enterprises are increasingly entering the Indian market to set up their own GCCs—and this is more than a passing trend. It signals a paradigm shift in how global operations are designed, resourced, and scaled.

At Versitae, we are seeing this movement firsthand. As a partner to organizations on their GCC journey, we recognize the significance of this shift and its implications for the future of global business. Why Now? The Drivers Behind the Shift Several macro and microeconomic factors are converging to make India an attractive destination for mid-market firms:

1. Access to World-Class Talent: India offers a vast, highly skilled workforce across technology, finance, analytics, and business operations. The depth of expertise, particularly in digital and engineering domains, is unparalleled.
2. Proven GCC Ecosystem: India is no longer an experiment for GCCs. With over 1,500 existing centers, the ecosystem is mature, supportive, and rich with shared learnings.
3. Digital-First Mindset: The post-pandemic world has redefined work, with distributed models becoming the norm. Mid-sized companies can now operate with the same global mindset and tools as their larger counterparts.
4. Strategic Need for Agility: Unlike large enterprises, mid-market firms are often more nimble. They require leaner, faster, and more scalable operational models—making India’s GCC landscape a perfect match.

The Strategic Advantage for Mid-Market Players The benefits of establishing a GCC in India go beyond cost arbitrage:

• Scalable Talent Engines: GCCs in India provide access to a continuous pipeline of digital talent, fueling innovation and delivery without compromising quality.
• Time Zone Leverage: With 24/7 operations enabled through distributed teams, mid-market firms can dramatically improve responsiveness to global markets.
• Focus on Core vs. Non-Core: By centralizing key functions in India, mid-sized companies can sharpen focus on core strategy and customer engagement.
• Innovation & Transformation: GCCs are no longer back offices. They are becoming innovation hubs, driving transformation from within.

Challenges to Navigate Of course, the journey isn’t without its hurdles:

• Leadership & Culture Integration: Mid-market firms must invest early in establishing leadership on the ground and ensuring cultural alignment across borders.
• Operational Readiness: Setting up a GCC requires a blend of strategic vision and tactical execution—from infrastructure to hiring to compliance.
• Change Management: Internally, organizations must bring teams along on the journey. The shift to a global delivery model requires buy-in, training, and a strong narrative.

Versitae’s Perspective: Making the Move with Intent At Versitae, our philosophy is clear: building a successful GCC is not just about geography; it’s about strategy. We help mid-market firms approach this transformation thoughtfully, with a roadmap that emphasizes:

1. Purposeful Design: We help define the GCC’s mission—is it a cost center, a center of excellence, or an innovation hub?
2. Right-Sized Start: We guide clients to begin with a pilot team or function that proves value and builds internal momentum.
3. Local Leadership Development: Identifying and nurturing strong local leaders is critical to ensuring stability and cultural continuity.
4. Technology Enablement: We assist in building robust digital infrastructure and toolkits to ensure seamless global collaboration.
5. Long-Term Value Creation: Ultimately, our goal is to help organizations use their GCCs as strategic assets, not just operational outposts.

Case in Point: A Mid-Market Success Story One of our clients, a mid-sized North American retail giant, approached us to establish a technology GCC in Pune. Their objectives were clear: reduce IT delivery costs, improve product development velocity, and access specialized skills in AI and cloud engineering. With Versitae’s support, they:

• Launched operations in under 4 months
• Hired over 50 high-quality engineers within the first year
• Integrated the GCC seamlessly into their global product teams

Today, their Indian GCC is not just a delivery engine; it’s driving innovation and contributing to strategic technology decisions. Advice for Mid-Market Firms Considering GCCs in India If you’re contemplating this move, consider the following:

• Don’t just follow the playbook of large enterprises. Your needs, scale, and culture are different—so your GCC strategy should be too.
• Start small, but start strong. Focus on one function or team. Validate, learn, and grow.
• Invest in people, not just processes. The right leadership can make or break your India story.
• Build with a long-term mindset. Avoid a transactional approach. Your GCC can be a source of innovation, resilience, and competitive advantage.

The Road Ahead As this mid-market momentum builds, we believe India is poised to become not just a delivery center, but a true partner in growth for hundreds of companies around the world. The democratization of global operations is underway, and Versitae is proud to be at the forefront of this shift. The question is no longer if you should build in India. It’s how to do it right. Versitae helps mid-market companies establish and scale high-impact Global Capability Centers in India. To learn more, connect with our team at www.versitae.com.