Sandeep Dutta, Chief Practice Officer – Asia-Pacific & Middle East at Fractal, in his article published on NASSCOM, explores the transformative journey of India’s Global Capability Centres (GCCs) as they evolve from traditional operational units into strategic innovation hubs. He emphasizes the pivotal role of Artificial Intelligence (AI) in this transition, highlighting how AI is enabling GCCs to move beyond cost-efficiency to become central to enterprise-wide innovation and value creation. Dutta also underscores India’s unique advantage, given its vast talent pool and supportive ecosystem, to lead this AI-driven transformation.
Key Highlights:
AI’s Evolving Role in GCCs
- AI has progressed from enhancing productivity in tasks like software development and data processing to enabling GCCs to develop intelligent solutions that drive business outcomes.
- Generative AI tools are now mature, with reports indicating that up to 30% of code is AI-generated, signaling a shift towards AI-driven innovation.
India’s Strategic Advantage
- India hosts over 1,600 GCCs employing more than 1.9 million professionals, making it the world's largest and most evolved capability center ecosystem.
- These centers possess full-stack ownership of business processes, granting them deep domain expertise and access to enterprise data, essential for building end-to-end AI solutions.
Supportive Ecosystem for AI Adoption
- India boasts one of the largest pools of AI and cloud professionals globally.
- Government initiatives, such as those from MeitY, and platforms like NASSCOM’s GCCX, along with a vibrant startup ecosystem, create a conducive environment for AI-led enterprise transformation.
Transition from Execution to Strategic Leadership
- GCCs are shifting from merely executing predefined tasks to taking ownership of problem statements, investing in design thinking, and fostering agile innovation.
- This involves building innovation pods and collaborating with startups and academia to drive enterprise-wide adoption of AI solutions.
Time-Sensitive Opportunity
- The convergence of enterprise knowledge, AI proficiency, and India's talent advantage presents a narrow window for GCCs to reposition themselves as strategic hubs
- GCCs that act promptly can lead in the AI age by making better decisions faster and at scale.
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