As global organizations recognize the inevitability of cyber-attacks, they are enhancing their cybersecurity strategies by bringing together skilled people, cutting-edge technologies and new age processes to secure their organizations.
Global Capability Centers (GCCs), by design, allow organizations to insource key functions, retain control and hold on to expertise in-house. When combined with right talent and commercial effectiveness, GCCs are apt for cybersecurity. With over half of the global GCC revenues, and growing at a CAGR of 11 per cent YoY, the growth of India based GCCs believes that cyber security in a key part of their strategy and are securing their global organizations, according to a report ‘Secure in India’ by accounting firm KPMG, DSCI and trade association NASSCOM. [Click here to read the full report]
Speaking about the report findings, Akhilesh Tuteja, Global Cybersecurity Co-Head and Head of Risk Consulting, KPMG said, “GCCs are apt for cybersecurity, when they are combined with right talent and commercial effectiveness.”
“The intent of this report is to enable leaders of global organizations make informed decisions on their India-based GCC strategy for cybersecurity delivery,” he added.
Talent pool and emerging locations
The report findings show that Cyber GCCs are at the cusp of transformation, as 61 percent believes that ‘retention of cyber security expertise in-house’ is key.
On an interesting note the study listed Hyderabad along with Pune, Chennai, Gurugram, Bengaluru and Delhi as major cities in the country with cyber delivery capabilities, unlike earlier when GCCs for cybersecurity used to be concentrated only in Bengaluru.
Organizations are also considering emerging locations like Ahmedabad, Vadodara, Coimbatore, Trivandrum and Kolkata to set up the centers, the study said. While Pune leads the presence of Cyber GCCs with 33 per cent of GCCs, Hyderabad comes at fourth with 20 per cent.
With cyber-attacks increasing — at a rate of 8.2 percent every year — companies have increased allocation towards their cyber GCCs in 2018. At least 43 percent of companies in the country increased its annual budget by 10 percent on cyber GCC efforts, and 35 pe cent increased it between 11-30 per cent. The study also observes that talent pool is at the heart of Cyber GCCs’ success story, with over 90 percent saying ‘talent pool availability’ drives their global organizations to set-up Cyber GCCs in India.
Cyber GCCs present a distinct opportunity to their global organizations with commercial, competitive and abundant talent pool. The study noted, 68 percent say commercial effectiveness is one of the top three drivers; 62 percent use new techniques like hackathon to tap new talents and up-skill security teams.
It is interesting to note that eight out of 10 are at high maturity levels in dealing with cyber threats like DDoS and 71 are at equally competent levels in dealing with advanced threats like malware. Moreover, 96 per cent have adopted preplanned strategies to combat cyber crisis for their global organizations
A hub for innovation
For one-third of the companies, innovation is one of the top three drivers for setting up Cyber GCCs. About 60 percent have ‘cyber products and new solutions development’ capabilities and 64 percent leverage emerging technologies to handle cyber issues. Besides, over half of the respondents are involved in acceleration and co-creation with startups.
Finally, the study noted that cyber GCCs continuously adapt to enhance value, with about 70 per cent create value for their global organizations through collaborations with external parties ( e.g: Industry peers , industry bodies, regulators, academia, start-ups etc.) and cyber GCC leaders owning global cyber functions will be on the rise.
Rama Vedashree, CEO, DSCI, and co-author of the report said, “There has been a surge in the Cyber Security management and delivery function of global corporations in India. The growth landscapes, driven by success stories across sectors, including financial Services, retail, telecom, healthcare etc. are playing a vital role in making India a strategic destination for the establishment and growth of Cyber GCCs.”
Vedashree is optimistic that GCCs will play a catalyst role in expediting the cyber security growth in India.