Reimagining GCCs: From execution engines to AI-powered innovation hubs

A quiet revolution with global implications

Global Capability Centers (GCCs) have long been part of enterprise globalization strategies—but today, they’re undergoing a seismic transformation. No longer just cost-arbitrage extensions of headquarters, GCCs are evolving into AI-powered, innovation-first centers that shape enterprise strategy, drive digital transformation, nurture in house talent, foster agility, and deliver customer impact. This isn’t just a shift in operations. It’s a redefinition of purpose.

What’s changing in GCCs

GCCs are located around the globe in proximity to tech-savvy locations. Here in India, there are over 1,700 GCCs, anchoring more than 50% of the global technology workforce supporting Fortune 500 firms. By 2030, that number is expected to grow fourfold, fuelled by rising digital demand, proactive government incentives, and the rapid development of Tier 2 and 3 talent hubs. The revenue generated by GCCs is expected to cross USD 110 billion by 2030 (source: NASSCOM). This shift is not just about geography or efficiency—it marks a change in purpose. The GCC is no longer merely an executive arm; it’s transforming into the nerve center of global reinvention.

In a hyper-digital, always-on world, enterprises need more than operational support. They need global units that can:

• Lead product and platform innovation.
• Drive AI and automation strategy.
• Deliver measurable business outcomes.
• Embed CX thinking into every layer of delivery.
• Build global in-house talent to complement a depleted and aging workforce in a highly outsourced environment.
• Ensure business continuity and risk mitigation.

The question has moved from “How efficiently can you deliver?” to “How quickly can you innovate, how can you align to our company culture and business goals, and how close can you get to our customers?” GCCs are expected to accelerate innovation and operate as deeply integrated extensions of the enterprise, mirroring its values, embedding domain context, and driving outcomes that matter.

From AI to ROI: Making AI a core competency

AI has progressed beyond sandbox experiments and isolated innovation labs. According to our 2025 CGI Voice of Our Clients research, featuring insights from over 1,800 business and IT executives, AI and GenAI implementation is maturing. In fact, GenAI adoption has seen a significant jump of over 13% between 2024 and 2025. AI is the top innovation investment and remains a key lever for supporting full-scale digital transformation to create value and achieve tangible business outcomes.

Today, GCCs have evolved from passive enablers to active orchestrators of business transformation, placing them at the center of AI adoption. The most mature GCCs are now:

• AI-native: Built with AI as a foundational capability—leveraging machine learning, data engineering, and automation as core to their architecture and delivery model.
• Outcome-driven: Focused on measurable business value—not just process efficiency but revenue impact, customer engagement, and market differentiation.
• Strategically aligned: Embedded into enterprise priorities, with AI programs linked directly to P&L goals, product roadmaps, and customer strategies.

This evolution was underscored at CGI Elevate 2025: Partnering for Progress, where global C-suite leaders discussed the shift from GenAI fascination to enterprise-scale AI adoption. The consensus: AI success depends on business ownership, not just technical implementation.

As Rakesh Aerath, President, CGI Asia Pacific Global Delivery Centers of Excellence, said:

“Technology can build the engine, but the business must take the wheel. AI delivers real value only when led or guided by those closest to the customer and the outcomes.”

We observed this approach in action with a leading global financial services firm. The GCC team utilized CGI PulseAI to modernize claims operations. What started as a cost-efficiency initiative transformed into a scalable, AI-powered business capability.

By combining document intelligence, predictive fraud models, and human-in-the-loop automation, the solution delivered:

• Significant reduction in claims processing time
•  Improvement in fraud detection accuracy
• Full alignment with governance and compliance protocols

This transformation was made possible by embracing key imperatives: co-creating with technology alliances, embedding business ownership from day one, and designing AI with transparency and controls in place.

Five imperatives for GCCs on the AI-to-ROI journey

GCCs are rethinking their DNA, evolving from execution to orchestration. Here’s how:

1. Collaborate to accelerate: Future-ready GCCs partner for progress and co-innovate with technology alliances, including startups, academia, and hyperscalers, to fast-track learning and minimize risk.
2. Redefine operations with automation: AI isn’t just about replacing tasks. It’s about reimagining how work gets done. GCCs are using intelligent automation to reinvent workflows, not just improve them.
3. From reactive to predictive: The future belongs to organizations that can anticipate change. Predictive models embedded in GCC-led operations help enterprises act before competitors react.
4. Make the business the AI owner: AI adoption only sticks when business teams lead it. Some of the most successful GCCs now have business-aligned product owners and CX leads guiding their AI roadmap, not just IT architects.
5. Build trust by design: Regulators, boards, and customers are watching how AI is used. Governance, transparency, and ethics can’t be afterthoughts—they must be built into AI from day one.

This is where “human-in-the-loop” approaches—where humans check or guide AI decisions—are gaining traction.

Breaking through barriers: Essential steps to achieve GCC transformation

Step 1: Cultural alignment and industry expertise

While GCCs are located in geographies that have vast tech talent, finding and retaining domain-specialized, cross-functional professionals remains a challenge. Cultural integration between headquarters and distributed teams along with an ability to foster industry expertise is essential for long-term success.

A pertinent example is CGI's partnership with Bell Canada, where they implemented a "just-in-time" cable provisioning solution. This initiative streamlined operations and underscored the importance of cohesive collaboration between distributed teams.

This collaboration exemplifies how GCCs can evolve from mere operational units to strategic hubs by:

• Investing in specialized talent: Focusing on domain-specific skills to drive innovation.
• Promoting cultural cohesion: Implementing programs that bridge cultural gaps between global teams.
• Aligning with business objectives: Ensuring that GCC initiatives align with overarching enterprise goals.

Step 2: Market proximity and CX alignment

Many GCCs still struggle with limited exposure to client markets and direct client interaction, perpetuating a perception of being disconnected from the business. The best GCCs address this by:

• Embedding CX teams into delivery pods
• Rolling out CXO-sponsored pilots from GCCs
• Increasing talent rotation and nearshore presence

Step 3: Partnerships over ownership

Rather than trying to own all capabilities in-house, future-ready GCCs progress through collaboration and partnerships with key technology alliances. Key levers include:

• Partnering with hyperscalers to scale cloud and AI maturity
• Co-innovating with startups for rapid prototyping
• Collaborating with IT service providers to leverage their robust processes, accelerators, tools, and transformation frameworks.
• Engaging with academia to tap deep tech and applied research

Alliances like this help compress innovation timelines and de-risk transformation.

Step 4: Adopting Responsible AI

AI governance is becoming a board-level issue. GCCs must stay ahead of evolving global and local regulations on data privacy, AI ethics, and cross-border compliance with robust Responsible AI standards.

In addition to these steps, when selecting a GCC partner it is important to evaluate their familiarity with helping you onboard essential operational policies, processes and functions, such as HR, finance, facility management, security, talent acquisition, communications, and more.

Closing thought: Is your GCC just delivering, or is it leading?

The GCC operating model is being rewritten. It’s no longer about scaling teams efficiently or executing tasks, but about how strategically they can contribute to growth and create lasting enterprise value

Some GCCs are already leading the charge by scaling AI, owning the customer experience, and delivering business impact. If your GCC is still focused on delivery KPIs, it might be time to reimagine its role.

True innovation happens when teams are empowered, and business value becomes their north star. Want to learn how your GCC can become an AI-powered innovation hub? Contact me to explore what's possible.