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Global Capability Centres (GCCs) are fast evolving from back-office cost centres into strategic “nerve centres” driving transformation, innovation and resilience across energy enterprises, according to a new KPMG report.
The report, titled From Cost Centre to Nerve Centre of the Energy Enterprise, warns that traditional operating models are proving inadequate as the sector faces the triple disruptors of electrification, decentralisation and digitalisation. Once seen as support units, GCCs are now “emerging as strategic transformation hubs,” supercharged by digital technologies, data and AI.
“It is indeed a ‘Midas touch’ story,” the report states. “GCCs are creating a once-in-a-lifetime opportunity of transformation, empowerment, and endless possibilities for invention, innovation and customer-centricity across the value chain.”
Energy GCCs increasingly deploy agentic AI, intelligent automation, digital twins, and advanced analytics to deliver predictive insights, enable real-time operational optimisation, and accelerate low-carbon innovation.
They are also breaking functional silos, becoming multifunction hubs integrating engineering, R&D, IT, operations and customer experience. By embedding AI into core workflows, GCCs are reshaping asset planning, maintenance and risk management, while reducing costs and improving agility.
“Enterprises pivoting to GCCs can deliver radical change compared to incremental tweaks within traditional structures,” KPMG noted.
India has become the world’s GCC powerhouse, hosting over 1,700 centres and projected to reach 2,400 by 2030, employing nearly 2.8 million people. GCC headcount is expected to grow from **1.9 million in FY24, buoyed by the country’s deep AI, automation and engineering talent base.
AI/ML and data science adoption in Indian GCCs has jumped from 65 per cent in FY19 to 86 per cent in FY24, while cyber security adoption has surged from 55 per cent to 88 per cent. Tier-II and III cities are gaining traction with their cost-efficient workforce and improving infrastructure, supported by new state-level GCC policies.
“With strengths in AI, automation and engineering excellence, GCCs in India will evolve into strategic command centres and drive next-generation solutions in the energy ecosystem,” the report, launched on September 16, highlights.
KPMG urges energy majors to integrate GCCs into core operations, embrace AI-native models, and rewire governance, moving away from siloed structures. It warns that failure to act could lead to “serious financial and business consequences.”
The report envisions that by 2030, GCCs will function as the digital brains of energy enterprises, spanning the entire value chain from exploration to distribution, enabling real-time optimisation, predictive maintenance, emissions management, and innovation in areas like green hydrogen and carbon capture.
“Energy enterprises must act decisively to unlock the full potential of GCCs,” KPMG concludes. “Making GCCs organisational nerve centres will be central to future-ready operating models.”