7 Reasons Why You Shouldn’t Ignore Vietnam Software Outsourcing

When thing comes in term of software outsourcing, many people might think immediately to ‘India’ or ‘china’. Because these countries play a big role in technology world or software development. However, besides these 2 big countries, there are a lot of countries rising and growing rapidly in software outsourcing service such as Poland, Philippine, Brazil, Taiwan. Among these countries, we should also mention Vietnam. In so far, with pool of talented engineer, experience with global projects and low cost labor, Vietnam is becoming top 1 of emerge destination for software outsourcing and offshoring. There are more than 140 companies which provide outsourcing services and this number is continuous growing. This can show and promise you that Vietnam is a great destination to build the cooperation. However, to assure for this promise, this article will show 7 Reasons Why You Shouldn’t Ignore Vietnam Software Outsourcing

1. Software engineer with well-educated
Vietnam has more than 20 universities and training centers which provide the information technology course. These schools are always on top of high quality for training. Besides that, there also has many foreign universities investing in Vietnam and providing this course like Fulbright university, RMIT university. Moreover, the requirement of self-study and doing research are becoming popular among universities’ teaching method. Further, with the fast changing of technology, there also has many online course relating to this major. These courses are a great tool for student to broaden their knowledge and their skills as well. With these conditions, Vietnam is gradually becoming the top country in providing high-quality IT engineer.
2. Communication
Here means English communication skills. English is one of compulsory subject for all student in Vietnam from secondary school or even elementary school. However, the problems for student in Vietnam are pronunciation and communication. These are gradually solved by many methods of teaching. Many English centers open for student. Many schools and educational institutions are applied the bilingual program. Besides that, the English become the one of the standards for graduation in universities and colleges. Furthermore, many top company outsourcing are highly required English and soft-skills from their candidate besides the technical skills. Vietnam, therefore, can assure amount of IT engineers who are not only good at technical skill but also English communication and soft-skills, especially for experienced and professional engineers.
3. Technology updating
With the strong technical skills from school, IT engineer from Vietnam not only improve it day by day through their daily task, but also use it as fundamental for updating the new technology and programming skills. They are all open to the new tech and new challenge. There is nothing new for them like Internet of Thing (IoT), Blockchain, Artificial Intelligence (AI), Machine Learning, Cloud Computer, Big Data, etc. These new techs are gradually studied and began to teach in some universities. And it will continue to be taught in many universities or even training centers in the near future.
4. Population
According to current population (www.worldometers.info/world-population/), Vietnam are at the 15th among the top 20 largest countries by population, and at the top 3 of South-Eastern Asia Population. Besides that, the number of people (at the age of 15–35) who are educated, are increasing now with more than 98%. With these number and the number of high-quality education, Vietnam can promise a great number of engineers who can engage in the work force of information technology in general and IT outsourcing in particular.
5. Competitive cost
If comparing between the in-house team with offshore or outsourcing services, the outsourcing services will take lower cost than hiring the in-house team. It is the main reason for outsourcing. No one doubts it. Yet, if comparing Vietnam labor cost with the other country like India, Vietnam’s labor costs cheaper from 30–50%. And of course, comparing with some western IT company, this price will be much lower. This is a short comparing but it can give a significant meaning for choosing the country for outsourcing. Because as a developing country, especially in the technology field, Vietnam can provide high-qualified software developers with a suitable cost.
6. Culture
Since Vietnam joined the World Trade Organization (WTO) in 2007, we can see the culture barrier between western culture and eastern culture are cutting down. Vietnamese people, young and old alike, could be do not like foreigners in the past because of the war reason. However, this has changed and foreigners always be welcomed. The fast changing of technology and internet somehow opens the way for Vietnamese, especially young people, to know more about the world. Besides that, the living way are also changed by adapting the development of science or healthy life-style. That’s why some events relating to exchange culture are held up in some universities. Or the trend of becoming global citizen is always emerging among the youth. However, this is not going to change Vietnamese’s identity, rather than it can be called a huge steps of opening to the world.
7. Destination for investors
According to the Global Services Location Index (GSLI)-released by A.T. Kearney in 2019, Vietnam has ranked the 5th and it moved up one position comparing with last ranking. This is a good sign and it can show us that Vietnam is gradually becoming the top leading in digital transformation, especially in IT outsourcing (ITO) and Business Process Outsourcing (BPO). Many big companies like Microsoft, IBM, Intel continuously invest to Vietnam. Besides that, the good relationship between Vietnam and Japan shows the big potential of software industry. Many Vietnam companies are promoting their business in this market. Japan, in return, also use the services in line of ITO and BPO from Vietnam market. This again, with many other factors, is giving Vietnam opportunity to grow strong in this industry and to provide high-quality IT engineer.
In sum up, Vietnam has a huge potential for outsourcing services. It can promise high-quality software developers who dare to face with and open with the new techs with well-educated. Besides that, this market can provide you a suitable cost with a great number of software engineers without any barrier such as English communication or culture. This is a good and attractive destination for anyone who want to use ITO and BPO services.
