In 2007, Everest Group conducted a value diagnostic survey among GICs (previously called “captives”) and their parent organizations to understand the alignment on expectations and perceptions of value delivered by GICs to parent organizations (Download results of the 2007 survey). A whopping 42% executives from parent organizations stated that the GIC should focus only on delivering cost savings. Interestingly,
- 58% of these responses came from executives in parent organizations of early stage GICs (<2 years of age)
- Lack of requisite capabilities and offshoring of only limited part of work were cited as the top two reasons for the belief that GIC should focus on cost savings only
Fast forward five years: Has the expectation of parent organizations from their GICs changed? Have the GICs evolved and matured in their approach to serve parent organizations? Have the GICs developed the capability gaps unearthed by the 2007 survey?
To help answer these questions and also take a fresh view of the GIC-parent model from cost-savings vs. value delivered perspective, Everest Group is re-launching the survey . The results will help the industry understand the progress GICs are making and help companies learn if their approaches to GICs are similar or different than others.
If you are an industry stakeholder with first-hand experience with GICs, we invite you to take the survey.
All survey participants will receive a complimentary copy of the summary findings. If you wish to get a customized benchmarking for your organization to compare expectation and perception of value delivered between parent and GIC, please contact us, and we will get back to you with next steps.