It’s truly been inspiring the last couple of days hearing from Global Leaders on the very way GCC’s have become an integral part/extension of their enterprise transformation initiatives. Hearing our clients and key business leaders call out the advantages of using GCC’s to drive innovation and leverage eco-system partners for infusing an entrepreneurial mindset into the organization and make use of the accelerated digital engagement made me reinforce the below views.
If we look at the very way the IT industry and the different labour models have evolved over the years and the importance of business and IT synergies now, it would be no surprise to what we heard, it’s no longer about location, while the cost is a factor, it’s not about that, it’s about tapping to the talent pool and driving innovation at speed and scale, we are onto the next phase of evolution, where GCC is now clearly BET’s! (Borderless Enterprise Transformation Teams)
Way back in the 90’s when the first set of outsourcing engagements started, it was all around internal applications for large technology firms, such as Texas Instruments or General Electrical, IBM or i.e. they set up their captives, and these captives/global centre’s evolved to become a microcosm of the corporate headquarters and extension of all functions of the HQ and become an integral part of the corporation and true extension of Consulting, Development, Support, Research, and Innovation Teams. These centers have evolved to engage as client transformation and innovation centre’s globally.
As talent was inducted into these centre’s, the biggest priority for each of the large Global IT firms was to make sure the company culture, identity, and brand is preserved and nurtured.
With business and technology synergizing in corporate houses, the internal IT organizations of large business enterprises, banking firms, global retailers started to play a larger role and as we know, CIO’s have become CDIO’s – Chief Digital Information Officer or CDTO – Chief Digital Transformation Officer, they started to tap into this exact model leveraged by the big 5 and large IT service providers and started setting up their own captives/GCC’s. These GCC’s have now evolved to become Borderless Enterprise Transformation Centre’s and crucial part contributing to innovation at scale and differentiating themselves dealing with the empowered consumers
With Covid accelerating digital transformation, GCC=BET has become a reality. IBM while continuing to invest in developing and rolling out Industry-specific research and innovation in AI, Blockchain, Cloud has doubled down and enhanced its offerings and partnership for GCC’s to be evolved and become BET’s in pursuit of being “essential” partners for our clients.
Being part of this exciting journey, we are seeing on how some of BET’s have been place, for e.g. one of the large automobile corporation is leveraging their GCC as it’s extended research arm, similarly, a large industrial products firm is leveraging its GCC for incepting and driving their digital transformation and enterprise wide automation initiatives, while another global consumer products firm is BET’inng on their GCC take the lead on driving enterprise wide sustainability initiatives.
Enterprises who can synergize Business and IT and leverage industry differentiating innovations from the partners and evolve their GCC’s to BET’s, a true extension of business and IT, while preserving the company culture and brand would lead and deal with the challenges caused by the pandemic and be resilient. For those who do not have GCC’s, it’s high time they put their BET’s on now!
Santhosh Rao
Partner and Executive Director – IBM Services
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