The rise of GCCs in Hyderabad – A new era of integrated global operations

Global Capability Centres (‘GCCs’) have become a cornerstone of operational transformation for multinational corporations (‘MNCs’), marking a departure from traditional Business Process Outsourcing (‘BPO’) models which serves multiple clients on transactional basis. These GCCs function as captive units dedicated exclusively to their parent organisations, handling core functions such as technology, analytics, legal, compliance, financial operations, and more. What began as a destination for outsourced back-office support has matured into a strategic ecosystem for high-value GCCs.

The growth of GCCs in India is driven not only by cost considerations but also by heightened data privacy requirements and a need for enhanced operational integration. As data security regulations across jurisdictions become more stringent, MNCs are increasingly opting to internalise sensitive operations within GCCs to reduce exposure to third-party risk, maintain regulatory compliance, and improve data governance. This shift has also created opportunities for employment models that are long-term, compliant with Indian employment law, and aligned with global corporate policies.

Notably, the nature of work handled by GCCs is also evolving. These centres are no longer confined to operational support; they are becoming global innovation hubs, driving strategic initiatives such as artificial intelligence, digital transformation, cybersecurity, sustainability, and regulatory tech. The capabilities developed in Indian GCCs are increasingly influencing group-level decision-making, contributing to product development, and accelerating enterprise-wide efficiencies. As they scale, these centres are embedding themselves deeper into core business functions, reflecting a broader shift from support roles to leadership in global delivery.

Hyderabad has rapidly emerged as a preferred destination for GCC expansion. According to a recent report by NASSCOM and Zinnov, Hyderabad ranks first in terms of GCC expansion, currently hosting over 550 such centres, second only to Bengaluru. The city has attracted major corporations such as Amazon, Google, Microsoft, Eli Lilly, Evernorth, Bristol Myers Squibb, Blackberry, and the London Stock Exchange Group. The factors contributing to this surge include Hyderabad’s robust infrastructure, seamless connectivity, access to a skilled talent pool, and globally benchmarked commercial real estate offerings.

In conclusion, India’s growing GCC ecosystem is redefining the global delivery model. The proliferation of GCCs across India, and particularly in Hyderabad, reflects a strategic shift in how global enterprises view offshore operations — not merely as cost-saving back offices, but as innovation-driven, value-generating hubs. GCCs allow MNCs to standardise global processes, enable enterprise agility, and centralise strategic functions in a location that offers stability, capability, and scalability. With its deep talent pool, modern infrastructure, India is set to remain a preferred destination for global companies looking to build future-ready, integrated capability centres.