Differences between GCC, EOR, PEO, and AOR

Here's a table summarizing the differences between GCC, EOR, PEO, and AOR:

Model	Description	Legal Entity Requirement	Employee Control	Compliance Responsibility	Key Advantages	Ideal For
Global Capability Center (GCC)	A dedicated centre set up by a parent company to handle various functions like IT, HR, finance, and analytics to support global operations.	Required	Full control by the parent company	Parent company	High control, data security, internal IP protection	Large organizations needing dedicated support in specific functions
Employer of Record (EOR)	A third-party service provider hires employees on behalf of a company, managing payroll, taxes, and compliance.	Not required	Partial control; operational direction by the company	EOR provider	Quick market entry, minimized compliance risks	Companies testing new markets or needing quick hiring without establishing a legal entity
Professional Employer Organization (PEO)	Provides HR services and shares employer responsibilities with the client company for a specific workforce.	Not required	Shared control; day-to-day managed by client	PEO provider and client company jointly	Cost-effective HR support, scalable	Small to mid-sized companies needing HR support without full legal establishment
Agent of Record (AOR)	An agency legally authorized to act on behalf of a company, often managing regulatory compliance or contractual obligations in a specific region.	Not required	Limited control; only for specified tasks	AOR provider	Cost-effective compliance support, minimal risks	Organizations needing representation for regulatory compliance or contract management without full setup

Each of these models offers unique advantages based on the level of control, speed to market, and the complexity of legal and compliance requirements.