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Mid-sized companies are increasingly establishing Global Capability Centres (GCCs), marking a shift from their traditional dominance by large multinational corporations. According to Alouk Kumar of Inductus Group, private equity-backed firms are leading this trend by relocating core functions such as engineering, data science and product development to offshore centres. The transition reflects a move from cost arbitrage to value creation, with GCCs enabling faster innovation cycles and improved EBITDA margins. Talent dynamics are also contributing, as emerging technology hubs offer access to skilled professionals seeking greater ownership and flatter organisational structures. The rise of GCC as a Service and modular infrastructure is further lowering entry barriers for mid-market firms to establish global operations.
The expansion of Global Capability Centres (GCCs) is increasingly being driven by mid-market companies, signalling a structural shift in global delivery models that were historically dominated by large multinational corporations. Advertisement
Industry participants indicated that, in recent months, a growing number of mid-sized enterprises particularly those backed by private equity have begun establishing GCCs to manage core business functions, including engineering, data science and product development. This marks a departure from earlier models where such centres were primarily set up by large corporations with the scale and capital to support extensive offshore operations.
According to Alouk Kumar, founder and chief executive of Inductus Group, the increased adoption of GCCs by mid-market firms reflects a broader democratisation of global operations. He indicated that global delivery is no longer limited to large enterprises, but has become a strategic tool for mid-sized companies seeking to enhance competitiveness and operational agility.
The shift is being driven not only by cost considerations but also by a focus on value creation. Companies are leveraging GCCs to build intellectual property, accelerate product development cycles and improve operational efficiency. Industry observations suggest that smaller GCCs, typically employing a few hundred professionals, are able to transition from setup to strategic ownership more quickly than larger, more complex operations.
Financial considerations also play a role, with GCCs contributing to improved EBITDA margins by optimising cost structures while maintaining access to high-quality talent. This is particularly relevant for private equity-backed firms, where operational efficiency and margin expansion are key investment priorities.
Talent dynamics have emerged as a critical factor in the growth of mid-market GCCs. While companies in developed markets continue to face competition from large technology firms, emerging hubs are providing access to a broader talent pool. Professionals are increasingly drawn to mid-sized GCCs due to opportunities for greater responsibility, flatter organisational structures and closer involvement in decision-making processes.
Industry stakeholders noted that such environments enable employees to take on leadership roles in product development and innovation, which may be less accessible in larger organisations. This has enabled mid-market firms to attract talent in areas such as artificial intelligence and cybersecurity, which are in high demand globally.
The availability of GCC as a Service models and modular infrastructure has further reduced entry barriers, allowing companies to establish global operations without significant upfront capital investment. This has enabled mid-sized enterprises to adopt scalable delivery models aligned with their growth strategies.
The evolving GCC landscape indicates a shift in how companies approach globalisation, with mid-market firms increasingly using offshore centres as strategic assets rather than support functions. As these trends continue, the role of GCCs in shaping global business operations is expected to expand across a wider range of company sizes and sectors.
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