State of the Market

Global In-house Center (GIC) Annual Report 2019: Enterprises Insourcing IT Services to Their GICs

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.