Hello Viewer,

Whether you’re an aspiring unicorn or an established business, growth and innovation is now synonymous with scaling up your tech capabilities. There’s no doubt that the IT landscape has become incredibly saturated with tech start-ups mushrooming like never before. Competition is at an all-time high, operational costs are always climbing, and talent is getting scarcer by the day.

While the pandemic has accelerated the demand and shortage for tech talent, it has also taught us that the world’s our oyster, rewarding those who are willing to venture offshore to hire regionally or globally.

This is where Tech JDI is advocating the hiring of tech talent in Vietnam to complement your current set up in HQ , for 3 key reasons:

  1. Gross salaries are approximately 40% lower than that in Singapore’s.
  2. Embracing diversity in talent, skill sets and culture from distributed teams without compromising on quality
  3. 100% ownership for better quality control, minimizing technical debt, and increasing investor confidence

Assuming a lean team of 3 pax in Vietnam, and here’s what the numbers would look like:

developer salary in Vietnam

 

Now, compare this with the same employee roster in Singapore, their developer hiring cost is much higher:

developer salary singapore

Even though the percentage of social contribution is 6.5% higher in Vietnam, the headcount costs would only amount to ~US$6,200/month, compared to US$15,800/month for the same build in Singapore. What this means is you want to keep the tech leadership and core team in Singapore, but look to Vietnam to scale-up once you reach a certain size/growth.
There are no shortcuts in building your tech team, everything goes through processes. Once you’ve chosen the operational model and team structure you like, what’s next is to be ready to face any challenges that your team may encounter.

Vietnam has come a long way since its emergence from the Vietnam War. Their future is now being written by a growing population of students, coders, engineers, entrepreneurs, and innovators, all enthusiastic for a better future.

For startups from mature markets such as Singapore, Vietnam presents a unique window of opportunity to further their tech capability and market expansion while still being able to cut down developer hiring cost.

We hope this guide can help you on build your offshore software company in Vietnam. Depending on your startup capabilities and goal, it is possible to venture alone. It’s a commitment, for sure. But it’s one that’s worth making.
Sincerely,
Alyssa
save developer hiring cost with Tech JDI