Also, there are fewer vendors which mean fewer options for your business. Substantial focus on key business practices and operating norms is one thing you want to notice while using IT outsourcing services in Vietnam.
However, with the aim to reach 1,000,000 software engineers in 2020, the Vietnamese Government has adjusted a lot of laws and issued many circulars to support the development of technology. Therefore, a number of organisations and companies which are looking for exporting IT projects to Vietnam are supported to find real estate and connected with local HR organisations or the telecom vendors.
PROMISING FUTURE IN VIETNAM IT OUTSOURCE
In spite of those challenges, there are optimistic signals that could be changing to be better. For instance, STEM (science, technology, engineering, and math) fields are
further developed in Vietnam. Savvycom’s CEO, Ms Van Dang has been featured on The University of Sydney as an alumna who is breaking down the stereotypes and
inspiring the next generation to pursue a career in STEMM. She hopes to enable a beautiful life with technologies and opportunities.
In addition to many other appealing factors, there are many big corporations such as Microsoft, Samsung, LG and Intel have decided to invest heavily in operations in Vietnam recently.
Vietnam IT Outsourcing – how is cost reduced?
Reducing cost is one main factor for Vietnam IT outsourcing’s appeal. To hire labour here, it doesn’t cost you much. The cost of labour is just about one-third of the cost of labour in India.
People are young, enthusiastic about the work they are assigned. educated talent pool. About two-thirds of the population is under the age of 30.
Vietnam seems to be an attractive destination to invest if you introspect other factors like wage inflation, salaries, real estate costs, etc. Moreover, with 30-50% less in terms of cost of operations than India, many companies now are seeing Vietnam as a great potential outsourcing place.
Workplace loyalty in IT field in Vietnam
If labour cost is what attract foreign businesses outsource to Vietnam, workplace loyalty is a crucial thing they want to invest in the long term. It seems to be a characteristic of Vietnamese culture, influencing attrition rates. According to remoteresources.com, this rate in Vietnam is just between 6 and 8%, compared to this rate in India at about 20%.
Moreover, Vietnamese talent in the software development industry is prestigiously valued for their hard-working spirit, flexibility and adaptability to the fast-changing environment.