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Vietnam in the Global Indexes of Software Development Outsourcing

Table of Content

 

When it comes to global outsourcing services, there are some popular places to look at, like Asia/Pacific, EMEA, and Latin America. Of course, the dominant positions for the best offshore software development belong to India and China. However, according to several pieces of research from Gartner, Inc., the investments in these traditional outsourcing countries have declined and shifted to emerging alternative countries to diversify the sourcing strategies which meet the needs of multinational corporations. The IT buyers, for now, go beyond the cost reduction but also focus more on local-language skills, cultural compatibility, travel-time decrease, and same-working-day communications. With diverse choices for qualified offshore service providers, businesses could support their broader geographic footprints and establish their global delivery services wherever they are.

Among different offshore outsourcing choices, Vietnam is proven as a dynamic and productive environment for offshore software development in the APAC region. This country is where IT buyers look for a qualified and cost-effective talent pool. Let’s discover some quick facts about Vietnam's rankings in different reports of global software outsourcing:

 

Vietnam's Rankings in Global Software Outsourcing Reports

  • Vietnam is ranked #5th in the 2019 Kearney Global Services Location Index

 

  • Vietnam is one of the nascent countries for digital maturity and high levels of cybersecurity protection (according to Kearney's 2019 report)

 

 

  • Vietnam is ranked #13th in TSGI Top 50 Digital Nations all over the world, according to Tholons Services Globalization Index 2019

 

 

  • Vietnam ranked #18th in the Tholons Top 100 Outsourcing Destinations 2016

 

Vietnam as a Potential Offshore Software Development Hub

  • According to the Vietnam Software and IT Services Association, Vietnam software outsourcing has gained traction over the last decade, with a revenue of US$8.8 billion in 2018, turning Vietnam into an emerging competitor of India and China.
  • Annually, more than 40,000 technical engineers graduate from universities entering the job market (2014 Vietnam Information and Communication Whitebook).
  • Several continuous investments in tech education, like US$55 million for Vietnam’s education technology (Edtech) in 2018 or US$4 million investment from a Hong Kong-based equity firm, were given to Vietnamese startup Everest Education.
  • Some tech giants have outsourced to Vietnam, both in manufacturing and R&D: Intel, Samsung, Microsoft, Fujitsu, Foxconn, Panasonic, Bosch, Alcatel-Lucent, Amdocs, Avaya, Cisco, Juniper Networks NEC, Toshiba, Hitachi, LG, HP, etc.
  • Ha Noi and Ho Chi Minh are always at the Top of outsourcing Tholons indexes, but Da Nang city, which is located in the centre of Vietnam, also appears to be an ideal and potential hub for ICT in general. The city was ranked first in the Vietnam ICT Index 2016 (from the Ministry of Information and Communications of Vietnam).

 

Final Thoughts,

As tech firms worldwide continue to use IT outsourcing as a part of cost optimization practices, you could choose Vietnam as a reliable nation for extending your technology capability with the most effective cost while mitigating the risk of sophisticated cyber threats.

 

 

References

Nhu Nguyen

About the author

Nhu Nguyen

The intersection of marketing and technology has created the sweet spot to discover my Ikigai, either in my professional or personal life. Spending much of my career in tech, my passion is building elegant brands and data-driven marketing techniques tailored for the tech community.
Frequently Asked Questions (FAQs)
Why is Vietnam emerging as a popular destination for offshore software development?

Vietnam is gaining prominence as an offshore software development destination due to its dynamic and productive environment in the APAC region. The country offers a qualified and cost-effective talent pool, with a strong emphasis on digital maturity and cybersecurity. Vietnam’s strategic focus on tech education and continuous investment in the IT sector has positioned it as a competitive alternative to traditional outsourcing locations like India and China.

What advantages do major cities in Vietnam offer for offshore software development?

Major cities in Vietnam, such as Ha Noi, Ho Chi Minh, and Da Nang, offer significant advantages for offshore software development. These cities are recognized in various Tholons indexes for their robust ICT infrastructure, skilled talent pool, and favorable business environment. Da Nang, in particular, is emerging as an ideal hub for ICT due to its strategic location, modern amenities, and government support for the IT sector.

How has Vietnam's education system contributed to its success in offshore software development?

Vietnam’s education system plays a pivotal role in its success in offshore software development. Annually, over 40,000 technical engineers graduate from Vietnamese universities, enriching the local talent pool. The government’s continuous investments in tech education, along with private investments in educational technology, ensure a steady supply of skilled professionals to meet the growing demands of the IT industry.

What makes Vietnam a reliable choice for tech firms looking for offshore software development solutions?

Tech firms worldwide consider Vietnam a reliable choice for offshore software development due to its cost-effective services, skilled workforce, and strong focus on cybersecurity and digital transformation. The country’s commitment to improving its IT infrastructure and the presence of global tech giants outsourcing their operations to Vietnam further reinforce its position as a dependable and competitive player in the global outsourcing market.

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The right to object to processing: You have the right to object to Our Company's processing of your personal data under certain conditions.The right to data portability: You have the right to request that Our Company transfer the data that we have collected to another organization, or directly to you, under certain conditions. The right in relation to automated decision making and profiling.The right to non-discrimination: Our company is not allowed to discriminate against you. If you make a request, we have one month to respond to you. If you would like to exercise any of these rights, please contact us at our email info@enlabsoftware.com or call us at +84 983757506. Privacy policies of other websites.Our Company website may contain different links to other websites. However, Our Privacy Policy applies only to our Website. In case you click on links to other websites, any emerging privacy issues should be governed by the companies that own these links. Changes to our privacy policy . Our Company keeps the privacy policy under regular review and adaptation to changes in legislation, changes of applicable privacy standards, changes in our offer, or changes in the processing of personal data. Any major changes will be notified via emails provided by you. How to contact us.If you have any questions about Our Company's privacy policy, the data we hold on you, or you would like to exercise one of your data protection rights, please do not hesitate to contact us. Enlab Software Co., Ltd. Address: 27 Che Viet Tan Street, Danang, Vietnam.Email: info@enlabsoftware.com .Phone: +84 983757506. Voluntarily fill out the forms on our Website, services, products.Use or view our websites, services, products via your browser's cookies.Our Company may also receive your usage data indirectly from the following sources: Third-party analytics platforms.Third-party marketing automation platforms.Third-party advertising platforms.We carefully work with prestigious companies and service providers to ensure all of your data is seriously protected not only by us but also by our partner. How we use your data.Our Company collects your data to serve several specified, explicit, and legitimate purposes below, which comply with "purpose limitation" in GDPR compliance.To provide, operate, and maintain Our Website and Our Services. To offer suitable Services related to Your Requests on Our Website. To provide you news, special offers when you opt-in as Our Subscribers.To notify you about changes to Our Services.To analyze the purpose of Our Service improvement. To remember your preferences data for your next-time visit.To advertise you with our special offers we think it could be useful for you. To detect and prevent technical issues, abusive and fraudulent uses of Our Website and Services. How we store and retain your information.All of your personal data collected by us is stored on our information systems, owned and operated by Enlab Software. And a part of it is stored in the cloud systems.We will retain your information for the purposes stated in this privacy policy, such as improving our service's functionality, strengthening security, and serving our internal analysis. We also retain your data as long as necessary to comply with our legal obligations, resolve emerging disputes, and enforce our legal agreements and policies. How we protect your data. We do not sell or pass your personal data to a third party for the purposes of direct marketing without your permission. While our team works hard to protect your information and ensure security, like setting up HTTPS and monitoring our systems frequently for any possible vulnerabilities and attacks. However, we cannot guarantee the absolute security of your data on the internet environment. In case an unexpected data breach happens, we will have to disclose specific information to report to the legal enforcement authorities that we believe it is unlawful. Marketing: When you opt-in to our subscriber list or fill out the forms to download materials developed by Enlab Software, Our Company would like to send you information about our Products and Services that we think may be useful for you. You could opt-out at any time you want. You have the right at any time to stop Our Company from contacting you for marketing purposes or giving your data to other members of Our Company. "Do not track" requests.If you are California residents and have set business relationships with us, we do not track your data over time, and we do not respond to browser do-not-track signals. Children's personal dataOur Website does not serve children under 16 years old and does not collect any personal data of children under 16. Your rights over data. We would like to make sure you are fully aware of all of your data protection rights. Every user is entitled to the following: The right to be informed: You have the right to be informed by Our Company about what kind of data we collect, how we process it, and use it for purposes.The right to access: You have the right to request Our Company for copies of your personal data. The right to rectification: You have the right to request that Our Company correct any information you believe is inaccurate. You also have the right to request Our Company to complete the information you think is incomplete. The right to erasure: You have the right to request that Our Company erase your personal data under certain conditions.The right to restrict processing: You have the right to request that Our Company restrict your personal data processing under certain conditions. The right to object to processing: You have the right to object to Our Company's processing of your personal data under certain conditions.The right to data portability: You have the right to request that Our Company transfer the data that we have collected to another organization, or directly to you, under certain conditions. The right in relation to automated decision making and profiling.The right to non-discrimination: Our company is not allowed to discriminate against you. If you make a request, we have one month to respond to you. If you would like to exercise any of these rights, please contact us at our email info@enlabsoftware.com or call us at +84 983757506. Privacy policies of other websites.Our Company website may contain different links to other websites. However, Our Privacy Policy applies only to our Website. In case you click on links to other websites, any emerging privacy issues should be governed by the companies that own these links. Changes to our privacy policy . Our Company keeps the privacy policy under regular review and adaptation to changes in legislation, changes of applicable privacy standards, changes in our offer, or changes in the processing of personal data. Any major changes will be notified via emails provided by you. How to contact us.If you have any questions about Our Company's privacy policy, the data we hold on you, or you would like to exercise one of your data protection rights, please do not hesitate to contact us. Enlab Software Co., Ltd. Address: 27 Che Viet Tan Street, Danang, Vietnam.Email: info@enlabsoftware.com .Phone: +84 983757506. Privacy Policy At Enlab Software, we believe that our integrity reflects by the transparency in how we collect and use your data. As our business serves global clients, we make an effort to make us comply with laws and compliance such as GDPR, CCPA, and Canada, Australia, and UK laws. We commit ourselves to collect and process your personal data lawfully, fairly, and in a transparent manner. Enlab Software's privacy policy governs the privacy of any use on the Enlab Software website, enlabsoftware.com, and services developed and owned by Enlab Software. This privacy policy will help you better understand how our organization collects, uses, and share your personal data that we receive directly and indirectly when you use our Website and our Services. This privacy policy is latest updated on Jan 01, 2021.What data we collect.We only gather necessary data that is needed to allow you to use our Website, and only for the purposes specifically described in this Policy. By using the Website, you consent to the collection, use, disclosure, and other forms of processing of your information in the manner, provided in this Policy. Personal data: While browsing on our Websites and using our Services, you could be required to provide us with personal identification information (PII) that may include but is not limited to name, email address, phone number, country of residence. We may use your personal data to contact and offer you a service upon your specific requests. We may use your personal data to send you newsletters, marketing materials related to your interests, or useful to businesses. Project data: We collect information about your project requirements provided by you via the "contact us" form, phone call between two parties, or any other means of communication. We are willing to sign the NDA as your request before any information is disclosed. But even in the case without a signed NDA, we still do not disclose all your project information to any third party for any reason as integrity and confidentiality are our ethical principles. Usage data: We may also collect information that shows your access and usage of our Website. The Usage Data includes your log-ins, cookies device information, IP address to identify you, and your use log. Tracking and cookies data: We use cookies and similar tracking technologies to track your activities on our Website and retain several specific information. We further define Cookies Policies that help you understand how we use these technologies, including a list of other companies that place cookies on our sites and clear guidance over how to control your cookie privacy. How we collect your data.When browsing on Our Website or receiving our service, you directly provide us with most of the data we collect. We collect data and process data when you: Voluntarily fill out the forms on our Website, services, products.Use or view our websites, services, products via your browser's cookies.Our Company may also receive your usage data indirectly from the following sources: Third-party analytics platforms.Third-party marketing automation platforms.Third-party advertising platforms.We carefully work with prestigious companies and service providers to ensure all of your data is seriously protected not only by us but also by our partner. How we use your data.Our Company collects your data to serve several specified, explicit, and legitimate purposes below, which comply with "purpose limitation" in GDPR compliance.To provide, operate, and maintain Our Website and Our Services. To offer suitable Services related to Your Requests on Our Website. To provide you news, special offers when you opt-in as Our Subscribers.To notify you about changes to Our Services.To analyze the purpose of Our Service improvement. To remember your preferences data for your next-time visit.To advertise you with our special offers we think it could be useful for you. To detect and prevent technical issues, abusive and fraudulent uses of Our Website and Services. How we store and retain your information.All of your personal data collected by us is stored on our information systems, owned and operated by Enlab Software. And a part of it is stored in the cloud systems.We will retain your information for the purposes stated in this privacy policy, such as improving our service's functionality, strengthening security, and serving our internal analysis. We also retain your data as long as necessary to comply with our legal obligations, resolve emerging disputes, and enforce our legal agreements and policies. How we protect your data. We do not sell or pass your personal data to a third party for the purposes of direct marketing without your permission. While our team works hard to protect your information and ensure security, like setting up HTTPS and monitoring our systems frequently for any possible vulnerabilities and attacks. However, we cannot guarantee the absolute security of your data on the internet environment. In case an unexpected data breach happens, we will have to disclose specific information to report to the legal enforcement authorities that we believe it is unlawful. Marketing: When you opt-in to our subscriber list or fill out the forms to download materials developed by Enlab Software, Our Company would like to send you information about our Products and Services that we think may be useful for you. You could opt-out at any time you want. You have the right at any time to stop Our Company from contacting you for marketing purposes or giving your data to other members of Our Company. "Do not track" requests.If you are California residents and have set business relationships with us, we do not track your data over time, and we do not respond to browser do-not-track signals. Children's personal dataOur Website does not serve children under 16 years old and does not collect any personal data of children under 16. Your rights over data. We would like to make sure you are fully aware of all of your data protection rights. Every user is entitled to the following: The right to be informed: You have the right to be informed by Our Company about what kind of data we collect, how we process it, and use it for purposes.The right to access: You have the right to request Our Company for copies of your personal data. The right to rectification: You have the right to request that Our Company correct any information you believe is inaccurate. You also have the right to request Our Company to complete the information you think is incomplete. The right to erasure: You have the right to request that Our Company erase your personal data under certain conditions.The right to restrict processing: You have the right to request that Our Company restrict your personal data processing under certain conditions. The right to object to processing: You have the right to object to Our Company's processing of your personal data under certain conditions.The right to data portability: You have the right to request that Our Company transfer the data that we have collected to another organization, or directly to you, under certain conditions. The right in relation to automated decision making and profiling.The right to non-discrimination: Our company is not allowed to discriminate against you. If you make a request, we have one month to respond to you. If you would like to exercise any of these rights, please contact us at our email info@enlabsoftware.com or call us at +84 983757506. Privacy policies of other websites.Our Company website may contain different links to other websites. However, Our Privacy Policy applies only to our Website. In case you click on links to other websites, any emerging privacy issues should be governed by the companies that own these links. Changes to our privacy policy . Our Company keeps the privacy policy under regular review and adaptation to changes in legislation, changes of applicable privacy standards, changes in our offer, or changes in the processing of personal data. Any major changes will be notified via emails provided by you. How to contact us.If you have any questions about Our Company's privacy policy, the data we hold on you, or you would like to exercise one of your data protection rights, please do not hesitate to contact us. Enlab Software Co., Ltd. Address: 27 Che Viet Tan Street, Danang, Vietnam.Email: info@enlabsoftware.com .Phone: +84 983757506. Privacy Policy At Enlab Software, we believe that our integrity reflects by the transparency in how we collect and use your data. As our business serves global clients, we make an effort to make us comply with laws and compliance such as GDPR, CCPA, and Canada, Australia, and UK laws. We commit ourselves to collect and process your personal data lawfully, fairly, and in a transparent manner. Enlab Software's privacy policy governs the privacy of any use on the Enlab Software website, enlabsoftware.com, and services developed and owned by Enlab Software. This privacy policy will help you better understand how our organization collects, uses, and share your personal data that we receive directly and indirectly when you use our Website and our Services. This privacy policy is latest updated on Jan 01, 2021.What data we collect.We only gather necessary data that is needed to allow you to use our Website, and only for the purposes specifically described in this Policy. By using the Website, you consent to the collection, use, disclosure, and other forms of processing of your information in the manner, provided in this Policy. Personal data: While browsing on our Websites and using our Services, you could be required to provide us with personal identification information (PII) that may include but is not limited to name, email address, phone number, country of residence. We may use your personal data to contact and offer you a service upon your specific requests. We may use your personal data to send you newsletters, marketing materials related to your interests, or useful to businesses. Project data: We collect information about your project requirements provided by you via the "contact us" form, phone call between two parties, or any other means of communication. We are willing to sign the NDA as your request before any information is disclosed. But even in the case without a signed NDA, we still do not disclose all your project information to any third party for any reason as integrity and confidentiality are our ethical principles. Usage data: We may also collect information that shows your access and usage of our Website. The Usage Data includes your log-ins, cookies device information, IP address to identify you, and your use log. Voluntarily fill out the forms on our Website, services, products.Use or view our websites, services, products via your browser's cookies.Our Company may also receive your usage data indirectly from the following sources: Third-party analytics platforms.Third-party marketing automation platforms.Third-party advertising platforms.We carefully work with prestigious companies and service providers to ensure all of your data is seriously protected not only by us but also by our partner. How we use your data.Our Company collects your data to serve several specified, explicit, and legitimate purposes below, which comply with "purpose limitation" in GDPR compliance.To provide, operate, and maintain Our Website and Our Services. To offer suitable Services related to Your Requests on Our Website. To provide you news, special offers when you opt-in as Our Subscribers.To notify you about changes to Our Services.To analyze the purpose of Our Service improvement. To remember your preferences data for your next-time visit.To advertise you with our special offers we think it could be useful for you. To detect and prevent technical issues, abusive and fraudulent uses of Our Website and Services. How we store and retain your information.All of your personal data collected by us is stored on our information systems, owned and operated by Enlab Software. And a part of it is stored in the cloud systems.We will retain your information for the purposes stated in this privacy policy, such as improving our service's functionality, strengthening security, and serving our internal analysis. We also retain your data as long as necessary to comply with our legal obligations, resolve emerging disputes, and enforce our legal agreements and policies. How we protect your data. We do not sell or pass your personal data to a third party for the purposes of direct marketing without your permission. While our team works hard to protect your information and ensure security, like setting up HTTPS and monitoring our systems frequently for any possible vulnerabilities and attacks. However, we cannot guarantee the absolute security of your data on the internet environment. In case an unexpected data breach happens, we will have to disclose specific information to report to the legal enforcement authorities that we believe it is unlawful. Marketing: When you opt-in to our subscriber list or fill out the forms to download materials developed by Enlab Software, Our Company would like to send you information about our Products and Services that we think may be useful for you. You could opt-out at any time you want. You have the right at any time to stop Our Company from contacting you for marketing purposes or giving your data to other members of Our Company. "Do not track" requests.If you are California residents and have set business relationships with us, we do not track your data over time, and we do not respond to browser do-not-track signals. Children's personal dataOur Website does not serve children under 16 years old and does not collect any personal data of children under 16. Your rights over data. We would like to make sure you are fully aware of all of your data protection rights. Every user is entitled to the following: The right to be informed: You have the right to be informed by Our Company about what kind of data we collect, how we process it, and use it for purposes.The right to access: You have the right to request Our Company for copies of your personal data. The right to rectification: You have the right to request that Our Company correct any information you believe is inaccurate. You also have the right to request Our Company to complete the information you think is incomplete. The right to erasure: You have the right to request that Our Company erase your personal data under certain conditions.The right to restrict processing: You have the right to request that Our Company restrict your personal data processing under certain conditions. The right to object to processing: You have the right to object to Our Company's processing of your personal data under certain conditions.The right to data portability: You have the right to request that Our Company transfer the data that we have collected to another organization, or directly to you, under certain conditions. The right in relation to automated decision making and profiling.The right to non-discrimination: Our company is not allowed to discriminate against you. If you make a request, we have one month to respond to you. If you would like to exercise any of these rights, please contact us at our email info@enlabsoftware.com or call us at +84 983757506. Privacy policies of other websites.Our Company website may contain different links to other websites. However, Our Privacy Policy applies only to our Website. In case you click on links to other websites, any emerging privacy issues should be governed by the companies that own these links. Changes to our privacy policy . Our Company keeps the privacy policy under regular review and adaptation to changes in legislation, changes of applicable privacy standards, changes in our offer, or changes in the processing of personal data. Any major changes will be notified via emails provided by you. How to contact us.If you have any questions about Our Company's privacy policy, the data we hold on you, or you would like to exercise one of your data protection rights, please do not hesitate to contact us. Enlab Software Co., Ltd. Address: 27 Che Viet Tan Street, Danang, Vietnam.Email: info@enlabsoftware.com .Phone: +84 983757506.

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