When your enterprise decides to establish a Global Capability Center (GCC)/Global Business Services (GBS) Center, then the focus is on the tangibles: cost savings, compliance checklists, and the new technology stack. These are the metrics that secure budget approval and look good in a quarterly report.

But here’s the fundamental, slightly unsettling truth that expert consensus confirms: The long-term success of your GCC/GBS isn't determined by your ledger, but by the people you hire, the leaders you empower, and the culture you cultivate.

If you skip these foundational elements, then you risk creating an aesthetic, high-tech, high-turnover facility rather than the strategic powerhouse that your enterprise desperately needs. Think of it as building a Ferrari engine and putting it on a scooter chassis, it simply won't perform.

We recently hosted an expert panel to discuss the key success factors for building and scaling AI-First Global Capability Centers (GCCs). We have boiled down the discussion to the non-negotiable essentials. If you are a GCC/GBS leader, then this is how you can make it a strategic powerhouse.

The Core Investment is Talent Building and Leadership

The biggest risk early on is underestimating the importance of local leadership and the depth that really comes in. It’s essential to get a leadership player that can operate independently, can make decisions, and embody the enterprise culture.

The Pitfall

Let’s consider a mid-sized SaaS company launches a project; call it Project Saturn, focusing only on achieving a 30% cost-saving target. The company hires brilliant local developers but makes two critical mistakes: they keep all final decision-making authority in the US HQ, and they hire an interim leader who is just a 'traffic cop' for tasks. 

The result? A 40% attrition rate within the first year because the local team felt like a 'feature factory’, highly skilled but completely disempowered. The lack of empowered local leaders turned a cost center into a morale drain.

The local market is vibrant and competitive. To ensure talent retention, you must invest heavily in:

• Building the right, empowered leadership layer 

• Embedding your enterprise culture early 

• Providing meaningful work, growth pathways, and clear career trajectories 

Great leaders are essential because they "build the right trust ladders" that connect the GCC/GBS center to the headquarters.

From Transactional to Strategic 

A GCC only succeeds when it evolves beyond a center that just delivers results or completes transactions. It should become a strategic enabler. This entire evolution is driven by culture. A good culture fosters: 

• Collaboration and psychological safety 

• A mindset of ownership and innovation 

The ‘Zero Fear’ Catalyst 

Companies that ignore cultural nuances often see their GCC team relegated to a ‘second-class citizen’ status, leading to low morale and friction. Conversely, top-quartile companies for diversity with integrated teams are 35% more likely to achieve financial returns above their national industry average.  

Who Should Head Your GCC/GBS? 

This is perhaps the single most important hire, and there is a major mismatch in how enterprises approach it. The typical scenario involves headquarters flying in an engineering leader to run an engineering-focused shop.

One of the challenging questions that is usually posed to these executives is, “Is your engineering leader somebody who has exposure across the entire facet of running an operation?”

The role of a GCC/GBS Center Head must manage and scale an operation that will eventually go beyond a single function, requiring competence across:

• Finance and HR 

• Facilities, risk, and governance 

• Legal, marketing, and branding 

The Specialist Trap 

Let’s say, a company named Global Systems Inc. (GSI) put their best employee, a hardware engineering VP, 'Mark,' in charge of the new GCC. Mark was a genius at hardware. But within six months, GSI was facing issues because Mark was ill-equipped to handle local legal compliance for facilities, a complex, high-stakes HR labor issue, and the development of a local employer brand needed to attract talent. He was a brilliant specialist trying to manage a generalist operation. 

It is recommended that you hire somebody who is departmental agnostic. You must hire a strategic operator who understands scale and people first.

Getting to See the Full Picture 

This is just the tip of the entire discussion. If you are a leader currently weighing a GCC/GBS center decision, then the full webinar would give you critical insights on: 

• The biggest early stumbling blocks and the strategic questions to answer before ribbon-cutting. 

• How to build the ‘trust ladder’ and gain strategic influence at the headquarters. 

• The concept of ‘earned relevance’ versus the ‘entitlement trap’. 

Don't let your GCC get caught in a costly cycle of high turnover and low strategic impact. Watch the complete webinar to know the full perspectives of our experts and ensure your GCC becomes the strategic superpower you intend it to be.