Digital transformation boosts captive offshore center growth
Global in-house centers — wholly owned captive offshore operations that deliver offshore IT services to their parent companies — today provide a quarter of the offshore and nearshore digital services market, according to outsourcing research firm Everest Group. And that percentage is likely to grow as enterprise demand for digital transformation continues.[ Related: Digital transformation will shape 2016 ]“Global in-house centers (GICs) are typically more strongly integrated with the core business as they are perceived as an extended team of the parent or onshore organizations,” says Aditya Verma, co-director of Everest Group’s global sourcing practice. “They typically have specialized knowledge of the business as they cater to only one customer (the parent organization) as compared to a multi-tenant service provider.” Enterprises are typically more comfortable sharing core business knowledge or intellectual property with the company’s own employees than with a third-party service provider who works with other customers or even competitors.To read this article in full or to leave a comment, please click here