JBT Captive Services
Since 2000 many MNCs have entered Indian R&D scenario with cost arbitrage in mind. It is not surprising that many have shut down or struggling to make their India captive centers viable. Some of the factors which are critical to make captive centers viable, yet very often overlooked or underestimated, are:
- Startup costs
- Infrastructure costs
- Knowledge transfer
- Attrition
To make their Captive Centers in India click, MNCs need to look beyond the cost arbitrage and position the centers as R&D contribution units and revenue generating growth engines.
Through more than 100 projects, involving 3 to 30 people, across 3 continents, JBT has accumulated in-depth knowledge of R&D operations, People Management and government liaison. This knowledge is the foundation of our Build-Operate-Transfer and Build-Transfer-Operate models to help MNCs move beyond cost arbitrage. JBT also brings in local sensibilities to the operations without sacrificing the MNCs’ work ethics and organizational culture.
Under JBT Captive Services we offer:
- Operations Management – For companies looking to establish strategic captive centers in India and outsource key activities like finance and accounts, IT, HR and payroll etc activities.
- People Consulting – For organizations looking for hiring and retention strategies, organization design and other people related consulting.
- India Research Services – – For MNCs looking for solutions and answers in their bid to build their India R&D centers.
Examples of JBT engagements:
- The strong R&D and technology background of JBT was leveraged by a US$30B chemical company to determine best Indian city for chemical R&D center. This led to a 300 people Chemicals R&D center in India.
- A US Agro-chemical Company engaged JBT in defining its hiring strategy for its 3000 strength Engineering Design and Sourcing Center.
- A North American Test & Measurement leader who has been leveraging outsourcing services from JBT, asked JBT to build, transfer and operate a 50 people captive center. At the end of the first year 2007, this center was 65 people strong. At end of second year 2008 it was 110 and by third year 2009, it was 170 people strong.