Under the impact of the covid-19 pandemic, all global businesses are currently still in the process of adapting to the “new normal”. According to the Harvard Business Review, “The impact of the new coronavirus has brought about a lasting change in customer behavior. People have spent time and money surviving the crisis. We should start by learning how to use it, need to challenge traditional thinking and use our ability to actively explore new capabilities.” Accordingly, many important changes and solutions are beyond the scope of domestic human resources, at this time, businesses need the support of offshore companies from abroad. In this Tech Town article, we will explain why offshore development can be the best option, especially during the covid-19 pandemic and beyond.
1. Remote working becomes popular
Since the outbreak of the pandemic, many businesses have adopted remote work as a necessity to protect themselves, their families and the community. Face-to-face meetings have gradually converted to online meetings. According to statistics from Forbes and HubSpot, 55% of companies allow employees to work remotely and this percentage has increased to 77% from 2019 to 2022. It can be said that remote working will still be popular in the future. future, regardless of whether there is a Covid-19 epidemic or not.
Remote working and online meetings are considered a new trend in the labor market. But it is not entirely new, foreign offshore companies have long carried out projects that only communicate with partners through voice calls, video calls. Although both sides struggled at first because of distance, they found the organization and process to quickly adapt to online meetings and discussions.
In the face of the whole world of remote working, offshoring proves its unique competitiveness when there is no need to switch from in-person to online.
Projects will not be interrupted by not being able to meet in person, a web conferencing environment can completely solve that problem. Stakeholders can meet online anytime, anywhere they want to keep the project going as smoothly as planned.
2. The need to reduce costs
The covid-19 pandemic has made the whole world depressed and financially drained. In a 2020 Gartner survey, 62% of CFOs planned to cut budget costs. At this time, offshore development allows businesses to do work with a smaller budget and is being considered for more options.
Moreover, offshoring allows businesses to access a large talent pool abroad at a more reasonable price, both achieving the goal of reducing costs and ensuring the quality of work.
One of the famous offshoring destinations today is Vietnam with a large number of IT personnel who are fluent in English and Japanese, trained in STEM (Science, Technology, Engineering and Mathematics) methodically, High level of technology and affordable cost. Specifically, the cost of hiring a Vietnamese data engineer or software engineer ranges from $9,600 to $18,000 per year, while this cost in Singapore can be up to $38,000 to $84,500 per year. That is also the factor that makes offshoring Vietnam especially attractive to many startups, small and medium enterprises in Japan.
It is expected that in the future it will be very difficult to hire such high-quality human resources, unless the enterprise has a high level of compensation that is worthy of them.
Offshore development is always much cheaper than hiring Japanese domestic digital workers and easier to control costs. Therefore, offshore development is the optimal choice for businesses that do not have the ability to increase recruitment.
3. Need a fast pace
To adapt to the new way of working during and after the pandemic, businesses need to make IT-related changes, not only to employees but also to the way of thinking of end users, in a fast.
So to save time, businesses need to increase their workforce or transform their business processes. Offshoring helps businesses avoid the hassle of recruiting, selecting and organizing teams, and can ensure dedicated, skilled staff who can be ready to launch projects right away. Starting projects early helps businesses get the finished product sooner, delivering value and support to their customers.
Another solution to reduce project completion time is to work with experienced developers. This way, the business owner also doesn’t need to compromise on quality and time. Professional offshore development services allow business owners to access an abundant talent pool, and can instantly build a team that meets all business requirements.
Offshore development will be an increasingly popular trend for IT projects. However, it is difficult to do it all well from the start, such as deciding how to proceed and building the offshoring process from start to finish. Therefore, businesses need in-depth support and advice at each project stage. Please consult a professional offshore company, they will help your business.
Tech Town is a technology company from Ho Chi Minh City – the most dynamic and developed city in Vietnam, a reliable IT offshoring partner of businesses in Japan. Since its establishment, Tech Town has given special priority to Japanese partners, wishing to provide modern and friendly technology products to customers here. We provide business partners in Japan with support from Vietnamese technology experts with high qualifications, long experience, and proficiency in many programming languages such as: Ruby on Rails, Node JS , PHP, Java, Python…, applying modern technology in software development such as: AI, Machine Learning, Blockchain… always dedicated and professional in project implementation, especially flexible working style, Fast, suitable for Japanese businesses.
Contact us if your business has any technological challenges.