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Home/Offshore IT Solutions/What is GCC? Common Myths About GCCs

What is GCC? Common Myths About GCCs

Emma

Apr 25, 2025

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GCCs have quietly become a major part of multinational companies’ operations. They are not just about cost savings but also about assessing top talent, driving innovation, and building strategic value from locations like India and overseas.

GCC is now a global innovation powerhouse, and brands rely on it for all their operations. As per MRFR, the GCC market size is expected to grow from 6.84 (USD Billion) in 2024 to 24.8 (USD Billion) by 20235, with a CAGR of around 12.42%.

Over the years, their role has grown far beyond just support services. Today, many GCCs are leading with innovation, building new products, and driving exceptional results for parent organisations.

Apart from all these, some common myths still persist, and it’s important to solve them. In this article, we’ll debunk the myths and look closely at GCCs.

What is GCC?

GCC stands for Global Capability Centres or Global Competency Centre. These are the offshore units or subsidiaries of multinational companies, set up in other countries like India, Eastern Europe, to provide a range of support services for the parent organisation.

Unlike outsourcing, where work is handed over to a third-party vendor, a GCC is wholly owned and operated by the parent company. The company retains full control over the quality, security and direction of work being done. They are considered the centres of innovation and excellence, offering high-value services like AI, machine learning, software development and more.

Common Myths About GCCs

Below are the listed myths that most people believe about Global Capability Centres (GCC).

1. GCCs are a temporary setup

Modern GCCs are strategic, long-term investments. Companies spend years building strong teams, developing infrastructure, and aligning their goals with GCC operations. Many GCCs have been successfully running for over a decade and continue to grow in size and operations.

They drive digital transformation and play a key role in the company’s global tech strategy. So GCCs are not temporary; they’re here to stay and evolve.

2. You need to be a multinational brand to build the GCC

You don’t need to be a corporate giant to start a GCC model. Even mid-size businesses and startups are setting their GCCs to grow and expand. The main thing here is the scaling, whether you’re managing a startup or a small-scale company. Access to specialized talent, cost efficiencies, faster product development, and global support can be the right business strategy to tap into the market.

You just need a smarter setup plan, clear goals, and the right partner to make a successful GCC.

3. They are just result-driven, not innovative

The GCC model has completely evolved over the years, and presently it’s an innovative hub for many businesses. It has played an important role in shaping the business strategy of an organisation. They don’t just follow the orders, but they’ll create a customised roadmap for the business. From product and platform innovation to customer experience transformation, they’ll help in driving the best possible results.

They’re the centres of excellence that bring leadership, innovation, and competitive advantage to the present global businesses.

4. Only tech companies have GCCs

GCCs are everywhere – from banks to retail to healthcare It spans across a wide range of activities, not just IT. From finance and insurance to retail, healthcare, pharma, manufacturing, and logistics, companies all over the world are setting up GCCs to manage operations, develop products, and lead innovation.

So any company with a global vision and operational needs can benefit from setting one up.

5. Setting up GCC is complicated and only feasible for big-budget companies

A common misconception most people believe GCC requires massive capital, a global team, and corporate business. But in reality, setting up a GCC can be a strategic and scalable move, even for mid-sized businesses and high-growth startups.

To build GCC, you need a clear business strategy and plan, and the right partners.

What You Need to Know While Setting a GCC?

What You Need to Know While Setting a GCC

1. Define your purpose clearly

Start with why. Setting a clear objective helps shape the structure, size, and scope of your GCC.

2. Choose the right location

Select the right location, like India, and consider factors like talent availability, infrastructure, and connectivity, time zone compatibility for effective operations.

3. Start small, scale smart

Begin with a single team like data analytics, software development, or finance management, and slowly and gradually scale your operations over time.

4. Partner with Experts

Choosing the right partner can help you with legal and compliance frameworks, talent hiring, onboarding, infrastructure, and real estate.

5. Focus on long-term value, not just savings

The best GCCs don’t just save money- they create value. They bring innovation, speed up the digital process, and enhance customer experience.

Build Your Global Team with Trigma

From the first step to full-scale operations, Trigma is your trusted partner in building GCCs that deliver real impact.

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