[Australia] Firms outsourcing core functions to offshore GCCs

[Australia] Firms outsourcing core functions to offshore GCCs
18 Jun 2026

In Australia, businesses are outsourcing more core functions to global capability centres, and the shift extends beyond customer support and recruitment, CFOtech Australia reports.

The global digital business services provider TP found that this change is spreading into HR, payroll, finance, workforce training and technology.

Richard Valente - TP’s Vice President of Customer Experience Strategy in Australia - reportedly said companies are entering a more advanced stage of outsourcing in response to skills shortages, rising operating costs and pressure to digitise.

Global capability centres (GCCs) typically served as offshore support hubs, with firms turning to external providers for customer service and recruitment. However, the model is now expanding into functions which were previously more likely to remain in-house.

Mr Valente stated that the shift reflects a broader rethink of how companies use offshore teams. Organisations are increasingly positioning them as integrated partners with responsibility across a wider share of the business, rather than low-cost service providers.

"Australian businesses have been comfortable outsourcing recruitment and customer service for years, but what we're seeing now is the next evolution - the offshoring of core business functions like HR, payroll, finance, workforce training, and technology," said Richard Valente, Vice President of Customer Experience Strategy at TP in Australia.

He added that the trend is no longer solely driven by cost-cutting.

"This isn't about simple cost-cutting anymore. It's about scaling specialised capability," Mr Valente said.


Source: CFOtech Australia

(Quotes via original reporting)

 

In Australia, businesses are outsourcing more core functions to global capability centres, and the shift extends beyond customer support and recruitment, CFOtech Australia reports.

The global digital business services provider TP found that this change is spreading into HR, payroll, finance, workforce training and technology.

Richard Valente - TP’s Vice President of Customer Experience Strategy in Australia - reportedly said companies are entering a more advanced stage of outsourcing in response to skills shortages, rising operating costs and pressure to digitise.

Global capability centres (GCCs) typically served as offshore support hubs, with firms turning to external providers for customer service and recruitment. However, the model is now expanding into functions which were previously more likely to remain in-house.

Mr Valente stated that the shift reflects a broader rethink of how companies use offshore teams. Organisations are increasingly positioning them as integrated partners with responsibility across a wider share of the business, rather than low-cost service providers.

"Australian businesses have been comfortable outsourcing recruitment and customer service for years, but what we're seeing now is the next evolution - the offshoring of core business functions like HR, payroll, finance, workforce training, and technology," said Richard Valente, Vice President of Customer Experience Strategy at TP in Australia.

He added that the trend is no longer solely driven by cost-cutting.

"This isn't about simple cost-cutting anymore. It's about scaling specialised capability," Mr Valente said.


Source: CFOtech Australia

(Quotes via original reporting)

 

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