GCCs in India Prioritize GenAI and Workforce Reskilling Over Job Expansion 78% of GCCs in India are skilling their teams for GenAI, while 37% are piloting use cases

By Entrepreneur Staff

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The world is watching the Indian market and its young talent. It is very evident in the growing Global Capability Centres (GCCs) in India. In 2022, India accounted for 55 per cent of the world's operational GCCs. This number rose to 1,580 in 2023, and by 2025, India is projected to host between 1,900 and by 2030 this number is expected to hit 2,550, with a market value estimated at USD 110 billion. Despite global economic concerns, India's robust economy and favorable environment are driving this growth—which creates jobs and an upskilling workforce.

However, emerging technologies are shifting focus from creating more jobs to upskilling present employees. According to EY India released its GCC Pulse Survey 2024, multinational businesses are embracing Generative Artificial Intelligence (GenAI) within GCCs in India, with 70 per cent of these businesses investing in the technology.

"The next frontier for GCCs will be in integrating GenAI into their core business functions to create intelligent workflows, enhance decision-making processes, and offer more personalized customer experiences," said Arindam Sen, Partner and GCC Sector Leader for Technology, Media & Telecommunications at EY India.

The survey found that 78 per cent of GCCs in India are skilling their teams for GenAI, while 37 per cent are piloting use cases, indicating a shift from experimentation to practical applications focused on talent management and risk mitigation. Investment in GenAI could potentially add USD 438 billion to India's GDP by 2029-30, up from USD 359 billion.

Three Priorities for 2025

Surveyed GCCs identified their top three priorities for the upcoming year, with climate change and sustainability leading, followed by 85 per cent aiming to expand functional capabilities and 61 per cent looking to drive enterprise-wide digital transformation. However, they also expressed key risks, including the rising cost of talent, the challenge of attracting talent at scale, and the need for improved leadership development.

Furthermore, cybersecurity remains a priority for GCCs, consistent with findings from the 2023 GCC Pulse Survey.

GenAI in Operations

According to the survey, 70 per cent of GCCs plan to leverage GenAI to enhance customer experience through automated chatbots, personalized support, and sentiment analysis. Additionally, 57 per cent aim to integrate GenAI into their operations, and 47 per cent intend to use it for IT and cybersecurity.

GCCs have a substantial impact on India's local economy by creating jobs, driving technology adoption, and fostering skill development. However, companies heavily investing in modern technologies are also sparking concerns about job displacement among current employees and future job seekers, who fear the rapid pace of technological change. The survey reveals that 50 per cent of GCCs emphasize that future growth depends more on modern technology than on workforce expansion, with a focus on reskilling current staff, potentially affecting job creation in India.

Entrepreneur Staff

Entrepreneur Staff

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