On opening a first India centre
India does the work. It still doesn’t run the centres.
Nearly two million people here work for someone else’s capability centre. Indians hold roughly a tenth of the leadership roles in them. Whether you’ve noticed it or not, that gap is what your first hire is priced against.
The number behind the number
The headline figures are easy to find and genuinely impressive. India has more than 1,700 capability centres employing over 19 lakh people, with combined revenue up from $40.4 billion in FY19 to $64.6 billion in FY24. More than 400 new centres opened in five years.
Here’s the figure that gets less attention. Indian professionals hold around 10 to 13% of leadership positions in these centres, up from 8.6% in 2022.
Sit with that for a moment. Two million people, and roughly nine in ten of the senior roles above them sit with someone who isn’t Indian, or who is running the place from somewhere else. The work localised two decades ago. The authority didn’t.
That’s the market you’re hiring into, and it explains something that otherwise looks strange: why a country with 28% of the world’s STEM workforce and 23% of its software engineering talent can feel thin the moment you look for someone to actually run a site.
The gap is closing, and that’s your problem
If the localisation trend were flat, this would be a curiosity. It isn’t. The government expects global roles held from India to rise from 6,500 to over 30,000 by 2030, against a sector heading for roughly 2,400 centres and 2.8 million people.
A four or five-fold increase in senior roles, drawn from a group of people who have spent twenty years being managed by head office rather than being put in charge of anything. Demand for exactly the profile you want is about to rise much faster than the supply of people who have done the job before.
What that means in practice is that the person in your job description is being repriced while you write it. Every company that has been here longer than you, with a brand people recognise, is promoting internally into the same scarce layer.
It also means something more useful. The pool of people who could do the job is considerably larger than the pool who have already done it, because so few have been allowed to. Insist on someone who has run a centre before and you are fishing in the smallest possible pond, at the top of the market, against better-known competitors. Some of the best first hires I would look for are people who ran something substantial inside a larger organisation and have never had the title.
The brief is usually written for the wrong job
First-office job descriptions get written by someone who has never operated here, describing the role by analogy to a job at head office. What the role actually involves in year one is hiring, entity wrangling, landing a culture nobody has seen, and pushing back on head office often enough to stop the team being treated as a back office.
That’s a general management job with a recruiting job stapled to it. The brief usually describes a functional leader, and the gap between those two is why so many first hires leave inside two years.
The sector’s own direction of travel makes this sharper. The Economic Survey notes that these centres have moved beyond back-office roles into engineering R&D in aerospace, defence, semiconductors and advanced manufacturing, with engineering research centres growing 1.3 times faster than the sector overall. Nobody good wants to run a cost centre any more, and the ones who would are not the ones you want.
There’s a version of this you can’t fix with money. A senior candidate in Bengaluru has heard of your competitors and hasn’t heard of you. Being the first India leader for an unknown foreign company is a genuine career risk, and it gets paid for in the size of the job rather than in salary. If the answer to "what decisions will this person own" is vague, no package closes it.
Three things I’d do differently
None of these cost anything except making decisions earlier than feels comfortable.
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Write the brief before choosing the city
- The city question usually arrives as a cost table, which is the least useful way to read it. The better question is where the specific people your plan depends on actually live, and that can only be answered once you know what the role has to accomplish. The default answer is no longer automatic either, with tier-two cities like Coimbatore, Kochi and Ahmedabad growing considerably faster than the established hubs.
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Say what they get to decide, not just who they report to
- Given that nine in ten leadership roles here still sit with someone elsewhere, candidates are right to be sceptical. They will ask what they actually get to decide. Companies that answer clearly close people that better-known competitors lose, and it costs nothing but the internal argument you should be having anyway.
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Look for the people who haven’t had the title
- If only a tenth of these roles have gone to Indian leaders, then experience of running a centre is a scarce and expensive signal, and it is not the same as capability. Weighting the search toward people who have done the constituent parts inside a bigger organisation opens a materially larger field, usually at a more sensible number.
What stays true regardless
The first hire compounds, because they set the standard for everyone after them and they do most of it across a nine-hour gap with nobody watching. You generally won’t know whether you got it right for about four quarters, by which point the team has been built in their image and the cost of being wrong has stopped being a hiring problem and become an organisational one.
All of which argues for treating the first search as the strategic decision rather than as the administrative step that follows the strategic decisions, though most plans I see are still built the other way round and nobody involved seems to notice until the second year.
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