Aman Surana’s Post

𝗚𝗖𝗖𝘀 𝗴𝗿𝗼𝘄𝘁𝗵 𝗶𝗻 𝗜𝗻𝗱𝗶𝗮'𝘀 𝘁𝗶𝗲𝗿-𝟮 𝗰𝗶𝘁𝗶𝗲𝘀 Global Capability Centres (GCCs) growth in India's tier-2 cities is on the rise, with about 150 of the 1,600 GCCs located in these smaller cities. Factors driving this growth include the availability of talent, lower costs, and government incentives. The demand for GCCs in tier-2 cities is expected to increase by 30-40%, with companies aiming to set up smaller setups of about 400-500 people being more inclined towards these cities. The talent pool in tier-2 cities is 25-30% lower in cost than mature hubs, and real estate rentals offer a 50% cost savings. Multinationals are also looking to diversify their presence by setting up in smaller cities to take advantage of talent at lower costs. Source: https://lnkd.in/eP6yPA5d

Tier 2 cities across India are seeing a growth in global capability centres (GCCs), mainly driven by smaller multinational firms. Companies making their maiden forays into India are eyeing Tier 2 cities as they don’t need a large set-up and employ between 400 and 500 professionals. What are the reasons for this trend? Wide availability of skilled tech talent, lower cost of living and running operations, government incentives, and sizeable rental savings in real estate. This growth in GCCs across smaller cities is also a result of bigger firms in Tier 1 cities looking to diversify and take advantage of talent availability at lower costs https://lnkd.in/g873WjGT https://lnkd.in/ghhiGtHe #GCCs #Tier2 #Tier3 #Multinationals #TechTalent

🌟 Tier-2 Cities in India are Becoming Centers for Operational Excellence, While Tier-1 Cities Lead as Strategic Innovation Hubs! India's #GlobalCapabilityCenters are evolving, with #Tier2 cities emerging as essential hubs. Traditionally, #Tier1 cities have been hubs for transactional purposes and are now becoming hubs for #innovation, focusing on #emergingtechnologies and strategic initiatives. In contrast, #Tier2cities are now becoming centers for #operationalexcellence and transactional processes. Key Insights: 1️⃣ #OperationalEfficiency in Tier-2 Cities: Companies are leveraging the cost advantages and growing #talentpools of Tier-2 cities to handle #backoffice operations and transactional tasks. This strategic move optimizes resource allocation and drives operational efficiency. 2️⃣ #Innovation in Tier-1 Cities: GCCs in Tier-1 cities continue to lead in #innovation, focusing on process excellence, #digitaltransformation, and new technologies. These centers create significant value through advanced solutions and cutting-edge technology. 3️⃣ #CostOptimization and Balanced Growth Strategy: By distributing functions across #Tier1 and #Tier2 cities, companies achieve a balanced growth approach, reducing costs while also tapping into diverse talent. Many mature GCCs with a presence in Tier-1 cities are now opening centers in Tier-2 cities to handle back-office and transactional work, while Tier-1 city centers focus on strategic and innovative work, adding value for HQ. Both Tier-1 and Tier-2 cities play complementary roles in driving business success. Note: The views expressed here are my own and do not represent the opinions of my employer. #GlobalCapabilityCenters #Innovation #OperationalExcellence #IndiaBusiness #EmergingTechnologies #BusinessGrowth #DigitalTransformation

"India's tier II and tier III cities are becoming pivotal in scaling up GCCs; house about 7% of total GCC units in FY2024, up from about 5% in FY2019." -The Zinnov-Nasscom India GCC Landscape Report said . . . Even though Bengaluru remains the main hub for Global Capability Centres in India, but its share of these centres has dropped by 4.4 percentage points over the last five years, according to an The Economic Times analysis. While the number of GCCs in the city grew by 41%, from about 620 in 2018-19 to around 875 in 2023-24, Bengaluru's overall share fell from 33.8% to 29.4% during this period. Sangeeta Gupta, the chief strategy officer at nasscom, explained that Bengaluru already has the highest number of GCCs, and many of these companies have become well-established. As a result, some of them may have opened second or third centers in smaller cities. Read more at: https://lnkd.in/gt4UGbx6

The rise of tech talent in India's Tier 2 cities is driven by lower living and operational costs, improved infrastructure, and government incentives. The shift to remote and hybrid work models, combined with a growing talent pool from local educational institutions and returning professionals, has made these cities attractive for tech companies. Improved quality of life, increased investment, and better digital connectivity further support this trend, making Tier 2 cities emerging tech hubs. The future in tier 2 cities is looking promising.

Great to see 4 Indian metros in the top 10 fastest growing ones globally though I would say if the the living conditions are taken into account these would be way behind the rest of the pack. Traffic, air and ground water quality (& sufficiency), public transportation, clean roads etc. are some of the obvious parameters to consider and Indian metros are more than choking due to unplanned growth. I think decongestion of our metros by accelerating planned growth of Tier 2s and 3s are the need of the hour (do note Beijing and Shanghai don't feature in this list while Shenzhen and Guangzhou are in)

For decades, India’s economic growth story has been synonymous with its bustling metropolises like Mumbai, Delhi, and Bangalore. These megacities have attracted talent, investment, and industry, transforming themselves into economic powerhouses. However, a new wave is rising – the rise of Tier 2 and Tier 3 cities. These smaller cities are shedding their sleepy town labels and emerging as vibrant economic hubs in their own right. This shift presents a compelling opportunity for businesses seeking to tap into a growing market and a diverse talent pool with executive talent in India. But before you pack your bags and head to the nearest up-and-coming city, let’s dive deeper into this phenomenon...https://lnkd.in/e_cnwTVJ #India #executives #talentacquisition

For decades, India’s economic growth story has been synonymous with its bustling metropolises like Mumbai, Delhi, and Bangalore. These megacities have attracted talent, investment, and industry, transforming themselves into economic powerhouses. However, a new wave is rising – the rise of Tier 2 and Tier 3 cities. These smaller cities are shedding their sleepy town labels and emerging as vibrant economic hubs in their own right. This shift presents a compelling opportunity for businesses seeking to tap into a growing market and a diverse talent pool with executive talent in India. But before you pack your bags and head to the nearest up-and-coming city, let’s dive deeper into this phenomenon...https://lnkd.in/eeZ6CiND #India #executives #talentacquisition

India's economic landscape is undergoing a significant transformation, with Tier 2 and 3 cities emerging as vibrant hubs for business growth. These cities offer a wealth of talent, lower operational costs, and a growing infrastructure. But did you know the Indian Government actively incentivizes companies to set up workspaces in these developing regions? Click here <https://lnkd.in/etZ36vyt> to read more in this blog by Hisham Basheer, Head of Technology, Alliances & Central Support at Mikro Grafeio (Beyond Workspaces) For more blogs, visit https://lnkd.in/eRNcTmHC #GovernmentIncentives #India #Blog #trending #WorkspaceSolutions #WorkforceSolutions #Tier2 #Tier3 #emergingcities #MikroGrafeio #BeyondWorkspaces

For decades, India’s economic growth story has been synonymous with its bustling metropolises like Mumbai, Delhi, and Bangalore. These megacities have attracted talent, investment, and industry, transforming themselves into economic powerhouses. However, a new wave is rising – the rise of Tier 2 and Tier 3 cities. These smaller cities are shedding their sleepy town labels and emerging as vibrant economic hubs in their own right. This shift presents a compelling opportunity for businesses seeking to tap into a growing market and a diverse talent pool with executive talent in India. But before you pack your bags and head to the nearest up-and-coming city, let’s dive deeper into this phenomenon...https://lnkd.in/e8qXV3TK #India #executives #talentacquisition