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Redefining Global R&D Through Global Capability Centres in India

Indian Global Capability Centres are implementing Research & Development (R&D) as a cornerstone driving cutting-edge innovation and digital transformation. India offers a compelling value proposition, leveraging its extensive and skilled talent pool, cost efficiencies and business ecosystem supported by strong government policies.            

As more companies expand internationally, innovation-based GCCs in India are taking centre stage in shaping business operations. Stratrich helps global businesses create a scalable innovative GCC. From roadmap design to implementation, we not only enable GCC setup, but also deliver strategies that lead the future of Research & Development for your company.

Key Reasons to Setup a GCC in India

GCCs in India have become essential for competitive advantage. India has become a global hub of GCCs for Fortune 500 companies and unicorns. It hosts over 1950 GCCs, employing ~2 million professionals.

Access to Diverse Talent

Direct access to India’s vast and skilled talent pool. India produces millions of graduates annually, with deep expertise in engineering, IT, finance, and analytics. This enables faster adoption of technology and innovation and reduces dependency on external vendors.

Cost Optimisation

GCCs in India offer substantial cost savings compared to operating in developing markets such as US, Europe or other APAC locations. While cost savings remain a significant factor, India now offers cost-effective excellence, not just cheap labour.

Global Integration & Time Zone Advantage

India’s time zone complements global workflows as it provides an operational bridge between APAC, EMEA, and North America, enabling round-the-clock workflows and seamless cross-continent collaboration.

Robust Ecosystem

The maturity of India’s infrastructure and business ecosystem offers scalability and flexibility. This is crucial in today’s fast-paced business environment. Rapid urban development, SEZs, and Tier-2 city capabilities have also improved ease of business setup and scalability.

Regulatory Support & FDI Reforms

The Indian government has liberalised FDI norms and digitised key processes, making it easier for foreign companies to establish operations.

How Stratrich Helps in the R&D GCC Setup

  • Dedicated Team - We assist in hiring top professionals aligned with business objectives.
  • Compliance & Accuracy First-Approach - We streamline processes to ensure regulations and industry best practices are met.
  • Financial Efficiency - We help optimise workflows for improved cash flow management and reporting.
  • Cost-Effective Solutions - We reduce overhead costs while maintaining top quality operations.
Stratrich R&D GCC Setup

Our Comprehensive Approach for Global Capability Centre India

Stratrich offers holistic support to ensure a smooth and compliant GCC setup. We follow a structured and strategic approach to ensure seamless operations while maximising efficiency and compliance.

Initial Consultation
  • Conduct a deep-dive client conversation to understand goals and vision
  • Perform a feasibility study
  • Design a business model aligned with the strategy
Strategy

We develop a blueprint and a business strategy that includes the following:

  • Scope of the business
  • Selection of the entity type and location
  • Shortlisting office spaces and vendors
  • Capital structuring and FDI route planning
  • Drafting HR and compliance policies in alignment with existing company policies
Incorporation
  • Official Registration of the entity in India
  • Obtaining tax documents (PAN, GST, EPF, ESIC, etc.)
  • Opening of Bank accounts
  • Securing a lease for the office
  • Hiring of support staff and installation of infrastructure
Integration
  • Building a dedicated Research & Development team aligned with your business needs
  • Defining workflows, compliance protocols and reporting structures
  • Integrating workflows with your existing systems and tools
  • Cross-border culture alignment
Ongoing Support

Once your GCC is operational, we provide continuous support, including:

  • Continuous refinement of workflows and processes for scalability and cost savings
  • Performance tracking through real-time insights
  • Advisory for business scaling

Frequently Asked Questions (FAQs)

A Global Capability Centre (GCC) is an offshore unit or subsidiary established by a multinational corporation to perform one or more strategic functions.

GCCs in India offer a wide range of services, including finance & accounting, IT, research and development, human resources, customer support, etc.

GCC 3.0 refers to the latest stage of development of global capacity centres, where the cost has been focused on innovation-based research and development, product ownership, and global intellectual property construction.

Unlike GCC 1.0 (back-office functions) and GCC 2.0 (technology competence), GCC 3.0 focuses on end-to-end product ownership, digital change, and IP construction.

There are some challenges in setting up a GCC in India, such as cultural and communication barriers, talent retention due to high demand of skilled employees and infrastructure setup.

Setting up a GCC varies depending on the scale and complexity of operations, but generally follows this trend:

  • Initial setup: 6–12 months
  • Full Operations: 12–24 months
  • Optimisation: 2–3 years

Yes.

Data security and intellectual property protection in a GCC are addressed through robust security measures, compliance with data protection laws, implementation of secure IT systems, confidentiality agreements, and access controls.

Best practices include establishing clear communication channels, fostering collaboration between local and global teams, leveraging technology for remote work, continuously evaluating and optimising processes, and adapting to changing market dynamics.