The global sourcing market continued to evolve and grow rapidly in 2018, to cross US$196 billion. While global enterprises leverage different sourcing models to suit their objectives and requirements, Global In-house Centers (GICs) continue to be an integral component of the sourcing model, accounting for ~25% of the global services market.

The success of the GIC model in India, Ireland, Poland, the Philippines, and China has led buyers to explore its application in other locations. While these countries continue to lead GIC activity, companies also established GICs in other parts of Asia, Central & Eastern Europe (CEE), Rest of Nearshore Europe (RONE) (which includes Ireland, Norther Ireland, Scotland, and Portugal), Latin America, and Middle East & Africa (MEA).

Besides the geographic diversification, the GIC market also expanded across verticals and functions.

Scope

This research leverages Everest Group’s proprietary GIC database, the industry’s most comprehensive database on GICs. The analysis is based on the GICs that provide offshore delivery of global services and excludes shared service centers that serve domestic operations. Data from the GIC database and Everest Group’s experience in the GIC segment has been supplemented by knowledge on key themes of the study, sourced through interactions with people working in GICs

This report is relevant to a broad set of stakeholders — buyers / parent organizations, service providers, GICs, and industry influencers (investors, industry bodies, etc.)

Contents

This report provides an in-depth analysis of the GIC landscape and trends. It covers market size, growth, and distribution of GICs by buyer portfolio, scale, functions supported, and offshore delivery locations.

The research also provides an overview of the trends witnessed in the overall GIC landscape in 2018. These have been compared with the GIC activity for the previous two years, to bring forth key areas of differences.

It also analyzes the GIC market across key offshore delivery locations, industry verticals, and functions:

• The location section covers GIC activity across India, Rest of Asia, Central & Eastern Europe (CEE), Rest of Nearshore Europe (RONE), Latin America, and Middle East & Africa. The subsection focuses on activity in the established as well as emerging delivery locations covering the GIC market size, number of new setups, and key cities in these locations
• The industry and function section analyzes the GIC market across key industry verticals — Banking, Financial Services, & Insurance (BFSI); Energy & Utilities (E&U); healthcare; manufacturing; retail & Consumer Packaged Goods (CPG); and technology & communication, and functions — business process – finance and accounting, human resource, supply chain, industry-specific processes, analytics, and customer care; information technology – application development & maintenance and infrastructure; and research & development / engineering

The study concludes with a deep dive into the increasing insourcing of IT services delivery in GICs (including driving factors and case examples).

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