How cultural alignment can determine the future of GCCs in India
Global Capability Centers (GCCs) continue to expand in India, companies are learning that cultural alignment can significantly influence their success or failure. With over 1,800 GCCs in the country, contributing more than $65 billion annually, understanding local culture is becoming just as important as accessing India’s skilled workforce and cost-effective environment.
Why Cultural Alignment Matters for GCC Operations
For multinational companies setting up GCCs in India, it’s crucial to recognize that success goes beyond tapping into talent. Leaders need to understand and integrate local cultural norms to foster innovation, collaboration, and long-term success.
Kumar Rajagopalan, VP and Country Head at Dexian India, highlights the importance of cultural sensitivity in improving communication within GCCs. “Leaders who recognize non-verbal cues and adapt to India's hierarchical structures are better equipped to build trust and promote clearer communication within their teams,” he says.
Boosting Employee Engagement and Retention
Cultural alignment can also play a major role in employee engagement and retention. In a competitive labor market, companies that respect and integrate local values are more likely to retain motivated employees. This understanding helps enhance collaboration between global teams and improves operational efficiency.
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