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“It takes all the running you can do, to keep in the same place.” – The Red Queen in Lewis Carroll’s Through the Looking Glass
This essentially captures the idea of constant effort required to survive in an evolving ecosystem, which is the basis of the concept, ‘The Red Queen Hypothesis.’ Just as a species must constantly adapt and evolve to survive, even when faced with no apparent change in their environment, Global Capability Centers (GCCs) and their leaders must continuously evolve.
And the rise of India as a GCCs hub is no secret. With leadership density twice that of the next global hotspot, India has clearly established itself as a GCC juggernaut. But as we bask in this glory, a crucial question emerges: Are the skills that got us here enough to propel us forward?
In a keynote panel discussion at our recently concluded global technology event, Confluence, we had veteran leaders from diverse industries, shed light on this very question, offering valuable insights into building a global-first mindset.
India’s GCC story isn’t just about scale; it’s about depth. From Engineering and R&D to Shared Services, India has become a hub for offshoring, often functioning as the nerve center in hub-and-spoke models. But as Murali Krishna from Providence, a 165-year-old Healthcare Provider, points out, the real game-changer is pivoting from traditional Shared Services to innovation-driven models.
By focusing on innovation and transformation, Providence’s GCC quickly established credibility and secured a seat at the global table. This approach highlights a key skill for aspiring global leaders: developing what Murali calls ‘global acumen’ – a blend of technical know-how and business savvy, that transcends borders. It’s about understanding the broader business context, not just in your local market, but on a global scale.
Ramkumar Narayanan, a veteran leader who has helmed five GCCs, challenged the notion of duality in global roles. Instead, he asserted that “it’s not a duality; it’s a continuity,”– a seamless integration of local insights and global strategy. This perspective shift is crucial for leaders managing teams across multiple geographies.
Think of it as conducting an orchestra. Each section (or region) has its unique sound, but the conductor’s role is to blend these into a harmonious symphony. This requires more than just technical skills; it demands cultural sensitivity and the ability to orchestrate diverse ecosystems. The key, according to Ram, lies in creating the right purpose, alignment, and management structure. Physical presence, while beneficial, isn’t always necessary if you can foster the right mindset and capabilities across locations.
India’s GCC landscape is like a melting pot of global business cultures. This diversity offers a unique learning opportunity that few other countries can match. As Madhavan Hariharan from The CK Birla Group points out, it’s not about moving everything to India. When they acquired a German flooring tiles company, they retained the R&D there. The lesson? Global capability doesn’t mean centralization or bringing everything to India – it means leveraging the best that each location has to offer.
Chitra Sukumar from Schneider Electric emphasized the importance of having ‘hub leaders’ who can bridge global strategies with local realities. These leaders not only manage local teams but also tap into regional ecosystems, be they start-ups, academic institutions, or industry bodies. It’s about finding the delicate balance between central vision and local execution.
This approach underscores the need for global leaders to be adept at orchestrating ecosystems, not just managing teams. It’s about recognizing that no single organization can solve everything alone.
As the world grows increasingly complex, Ram stressed the importance of developing frameworks to navigate uncertainty. These could include methods for evaluating market dynamics, assessing portfolio relevance, and managing talent strategies. The ability to simplify complex strategies and communicate them effectively becomes a critical skill for any leader, emphasized Chitra.
As more and more Indian leaders step onto the global stage, there are certain traps to avoid –
The skills that got us here won’t necessarily take us forward. So, what’s the roadmap?
As we look to the future, Zinnov estimates suggest that the number of global roles in India will touch a massive 30,000 by 2030. The onus is on current leaders to groom the next generation. This involves not just enhancing technical capabilities but also developing strong communication skills and the ability to present oneself confidently on a global stage.
The journey from local to global leadership is as much about mindset as it is about skills. It’s about seeing beyond immediate boundaries, orchestrating diverse ecosystems, and continuously adapting to an ever-changing global landscape. With consistent effort and continuous evolution, the India GCC juggernaut will move forth unabated. Those who can cultivate this global-first mindset will be the ones leading the charge into the next chapter.