Vietnam has become a popular destination for building a tech team in 2013.
The country has a large and growing population of young, highly educated tech-oriented individuals.
Furthermore, Vietnam has a high literacy rate and a significant percentage of the population is under the age of 35.
Specifically, 54% of tech talents in Vietnam are 20-29 years old. That means you have more time and runway to groom your tech developers into the complete tech workers for your organization.
Also, it shows there is a large pool of tech talent available to companies, with many professionals having experience working in tech-related fields.
In addition to a strong tech talent pool, Vietnam also offers competitive salaries and a low cost of living.
And if these arguments are not enough to convince you to start thinking about building your tech team in Vietnam, then refer to our 13 amazing statistics on tech talents in Vietnam.
The abundance and low salary base of tech developers in Vietnam make it an attractive country for businesses looking to hire skilled professionals while maintaining cost-effectiveness.
Furthermore, the Vietnamese government has implemented various initiatives to promote the country’s tech industry, including tax incentives, infrastructure development, and funding for startups.
This has led to an increasing number of tech companies setting up operations in the country and has made Vietnam a key player in the global tech industry.
Overall, building a tech team in Vietnam provides businesses with access to a large pool of talented professionals, cost-effectiveness, and government support for the tech industry.
This makes it an attractive option for companies looking to expand their operations and achieve long-term success.
Before we venture further into this article, we like to share who we are and what we do.
About 9cv9
9cv9 is a business tech startup based in Singapore and Vietnam, with a strong presence all over the world.
With over six years of startup and business experience, and being highly involved in connecting with thousands of companies and startups, the 9cv9 team has listed some important learning points in this overview of how to build a tech team in Vietnam.
If your company needs recruitment and headhunting services, you can use 9cv9 headhunting and recruitment services to hire top talents and candidates. Find out more here, or send over an email to [email protected].
Why You Should Build an Offshore Tech Team in Vietnam?
There are several compelling reasons why businesses should consider building an offshore tech team in Vietnam.
- Huge Supply of Young Tech Talents
- Strong Aptitude for Technical Coding
- (Very) Competitive Salary
- Most are Humble and Work Hard for the Organization
- Government Support
1. Huge Supply of Young Tech Talents
Vietnam is home to a growing pool of skilled and highly educated tech talent.
With a focus on STEM education and a thriving tech startup scene, Vietnam is producing a new generation of tech professionals who are ready to take on complex projects and drive innovation in the global tech industry.
Furthermore, as the data have shown earlier, 54% of tech talents in Vietnam are 20-29 years old, i.e. tech developers in Vietnam are young.
This means a longer runway for your company to train and to keep them entrenched in the company developing top products for your firm.
2. Strong Aptitude for Technical Coding
According to the CEO of 9cv9, Gilbert, most Vietnamese developers he has hired and encountered are good at coding and programming.
“The Vietnamese developers are strong in the coding languages of PHP, Ruby, React, Vue, Angular, Swift, Android, React Native, etc. This is also partly due to the huge number of outsourcing firms here, which specialised in general programming languages.”
– Gilbert, CEO of 9cv9
Vietnamese developers are ranked amongst the top in Southeast Asia for their technical prowess in coding and software development.
Heck, they even excel at hardware development.
Look no further than Misfit, a Vietnamese wearable fitness tracker company that was acquired by Fossil Watch Group back in 2015.
Almost half of Vietnamese developers and engineers in Vietnam have almost 4 years of software experience as they are focused on the software engineering career, to accumulate as much experience as possible.
Unlike in other countries in which the software developers might make a career switch or might deviate to try some other career options, i.e., UXUI Designers, Product Managers, Project Managers, etc.
3. (Very) Competitive Salary
The cost of living and doing business in Vietnam is lower than in many other countries, which means that the labor costs of tech developers and engineers are also lower.
This can be a significant advantage for businesses that are looking to build a skilled tech team without breaking the bank.
Tech developers in Vietnam cost on average US$2,000 a month, which is around 30% lower than salaries in most developed countries.
4. Most are Humble and Work Hard for the Organization
One of the key traits of Vietnamese developers is their humility and strong work ethic.
Many Vietnamese developers are known for their willingness to work hard for their organization, putting in long hours and going above and beyond to ensure that their work is of the highest quality.
A good example was highlighted by the CEO of 9cv9, Gilbert, in which his developer worked hard yet refused to accept credit.
This humility is rooted in Vietnamese culture, which values teamwork, collaboration, and a sense of community.
In the workplace, this translates to a strong emphasis on building strong relationships with colleagues and working together towards a common goal.
Vietnamese developers are also known for their adaptability and flexibility.
They are often willing to take on new challenges and learn new skills in order to support their organization and contribute to its success.
Another factor that contributes to the humility of Vietnamese developers is the fact that many of them come from modest backgrounds.
They may have had to work hard to achieve their goals and overcome challenges along the way.
This experience has taught them the value of hard work and perseverance, which they bring to the workplace.
Overall, the humility and strong work ethic of Vietnamese developers make them valuable assets to any organization.
Their willingness to work hard and collaborate with others can help to drive innovation and success, while their adaptability and flexibility ensure that they are able to tackle new challenges and stay ahead of the curve in the fast-paced tech industry.
5. Government Support
The Vietnamese government has made a concerted effort to promote the growth of the tech industry, with initiatives aimed at supporting tech startups, investing in infrastructure, and attracting foreign investment.
This government support can provide an added layer of security and stability for businesses that are considering building an offshore tech team in Vietnam.
The Vietnamese government has been actively promoting the hiring of tech developers in Vietnam as part of its efforts to boost the country’s economy and position it as a hub for innovation and technology.
One of the key ways that the government has been promoting the hiring of tech developers is through the establishment of a number of programs and initiatives aimed at supporting the tech industry and attracting investment to the country.
One example of these initiatives is “Vietnam IT Day,” which is an annual event that brings together industry leaders, entrepreneurs, and investors from around the world to showcase the latest innovations and technologies being developed in Vietnam.
The event is organized by the Ministry of Information and Communications and provides a platform for Vietnamese tech companies to connect with potential investors and partners.
Another initiative that the Vietnamese government has launched to support the tech industry is the “National Technology Innovation Program,” which provides funding and support for research and development projects in key areas such as robotics, artificial intelligence, and biotechnology.
The program is designed to help Vietnamese companies develop cutting-edge technologies and products that can compete on the global stage.
In addition, the Vietnamese government has established a number of tax incentives and other benefits for companies that invest in the tech industry in Vietnam.
These initiatives and programs have helped to create a favorable environment for the tech industry in Vietnam and have encouraged many companies to establish a presence in the country.
As a result, the number of tech developers and IT professionals in Vietnam has been steadily increasing.
Overall, building an offshore tech team in Vietnam can be an attractive option for businesses that are looking to tap into emerging tech talent, take advantage of lower labor costs, and expand their global footprint.
With a favorable business environment, cultural compatibility, and government support, Vietnam is emerging as a top destination for businesses that are looking to build a skilled and successful tech team offshore.
Key Factors to Build a Tech Team in Vietnam (Updated in 2023)
1. Hiring Strategy
The hiring strategy is a crucial component of building a successful tech team in Vietnam.
Before embarking on conceiving a hiring strategy, you would need to think about hiring these basic key roles for your tech team in Vietnam.
To attract and retain top talent, it’s essential to have a well-planned hiring strategy that takes into account the local talent pool and the unique characteristics of the Vietnamese workforce.
Some key elements of a successful hiring strategy for building a tech team in Vietnam include:
Understanding the Local Talent Pool
It’s essential to have a good understanding of the local talent pool in Vietnam. This includes knowing the skills and experience of potential candidates, as well as understanding the local labor market and its trends. It’s best to get a local partner to helm the hiring and building of the tech team. With this in mind, one can look no further than the industry gold standard: 9cv9 Tech and Offshore Hiring.
Widely used by over 3,500+ companies and users all around the world to acquire top talents, 9cv9 has impressed companies and organizations near and far. Just see some of the testimonials below and you will understand why.
Knowing Where to Find the Right Candidates
To find the right candidates, it’s important to know where to look.
This could include reaching out to local universities, engaging with tech communities, attending job fairs, or utilizing social media platforms and job boards.
Typically, most companies use 9cv9 as a springboard to hire top tech developers. 9cv9 is widely recognized as the leading voice in the IT tech hiring scene in Vietnam.
Furthermore, 9cv9 is endorsed by the Government of Singapore’s Enterprise Singapore for its Global Tech Talent Alliance Program.
Building Relationships with Local Universities and Tech Communities
This could be a little tedious as relationship building can take time and effort.
That said, engaging with local universities and tech communities can help build a strong pipeline of talent.
It can also provide opportunities to connect with students and professionals early on in their careers and build relationships with potential candidates.
Utilizing Social Media Platforms and Job Boards
Social media platforms and job boards are essential tools for recruiting top talent.
Platforms such as LinkedIn, Facebook, and Indeed are popular among professionals in Vietnam and can be used to promote job openings and engage with potential candidates.
One of 9cv9 top Facebook groups to attract top tech talents in Vietnam is IT Jobs and Internships (Vietnam), with over 60,000 tech developers and tech-related personnel there.
By implementing a hiring strategy that takes into account the unique characteristics of the Vietnamese workforce, businesses can attract and retain top talent and build a successful tech team in Vietnam.
2. Cultural Fit
Cultural fit is another important factor to consider when building a tech team in Vietnam.
It’s important to understand the local culture and working style to ensure effective communication and collaboration within the team.
Some key considerations for ensuring cultural fit when building a tech team in Vietnam include:
Understanding the Local Culture and Working Style
It’s important to have a good understanding of the local culture and working style in Vietnam.
This includes understanding the communication styles, work ethics, and social norms that are prevalent in the local business culture.
The Vietnamese tech developers highly value good and clear instructions from the top, i.e., to tell them what web page to code for today/the week/the month.
Ensuring Effective Communication Within the Team
Effective communication is essential for building a successful tech team. It’s important to ensure that team members are able to communicate effectively with each other, regardless of language barriers or cultural differences.
Unless you are Vietnamese, there might be some communication barriers hindering your Vietnamese tech team from functioning to their fullest potential.
In this case, we highly encourage getting a bilingual project manager or lead developer to smooth out this kink.
Also, if your tech team in Vietnam is working on a remote basis (as do most of the tech developers in the post-Covid19 world), then have a read at our practical guide on how to enable efficient communication for remote teams with the top 5 useful and quick tools.
Encouraging Open Feedback and Transparent Communication
To ensure effective communication within the team, it’s important to encourage open feedback and transparent communication.
This can help to build trust and foster a culture of collaboration and innovation.
Typically we will recommend having at least a weekly scrum or stand-up meeting, whereby members of your tech team will report on their progress and if there are any kinks encountered in the week.
Being Respectful of Local Customs and Traditions
Respecting local customs and traditions is essential for building trust and establishing strong relationships with team members.
This could include respecting local holidays and customs and taking the time to learn about local traditions and practices.
For example, the 13th bonus salary is not legally enshrined in the laws but it is a good cultural practice to give your Vietnamese tech team a 13th-month bonus each.
By understanding the local culture and working style, promoting effective communication, and being respectful of local customs and traditions, businesses can ensure cultural fit and build a strong and cohesive tech team in Vietnam.
3. Technical Fit
Technical skills are obviously critical when building a tech team in Vietnam.
In order to develop high-quality products and services, companies must hire individuals with the necessary technical skills and experience.
Some key considerations for technical skills when building a tech team in Vietnam include:
Identifying the Specific Technical Skills Required
It’s important to identify the specific technical skills required for each role within the tech team.
This could include programming languages, development frameworks, database technologies, cloud computing, and other related technical skills.
If your tech stack is on Ruby on Rails, then you won’t do yourself any favors by hiring Java developers.
It is best not to comingle different coding languages on the same application.
That said, typically, two different coding languages are used for the front and for the back end respectively.
And on that topic, there is a difference between Java and Javascript so do be careful when setting out to hire tech developers.
It ain’t no “tomayto, tomahto”.
So, be careful when choosing your technical stacks for the tech team selection.
Assessing Technical Skills during the Hiring Process
During the hiring process, it’s important to assess technical skills using appropriate evaluation methods, such as:
- Technical Tests: One of the most effective ways to assess technical skills is to give candidates a technical test. This can be in the form of a coding challenge, a technical project or task, or a quiz to assess knowledge. This helps to evaluate a candidate’s skills and understanding of the technology they will be working with.
- Portfolio Review: Candidates can be asked to provide a portfolio of their work, such as links to projects they have worked on, sample code, or design work. This can help to demonstrate their level of experience, expertise, and technical skills.
- Technical Interview: Conduct a technical interview where the candidate is asked to explain their technical approach to a problem or to provide detailed explanations of their technical experience. This allows the interviewer to assess their ability to communicate technical concepts and gauge their level of experience.
- References: Ask for references from previous employers or clients who can speak to the candidate’s technical skills and work ethic. This helps to confirm the candidate’s level of experience and technical expertise.
- Behavioral Interview: While technical skills are important, soft skills such as communication, teamwork, and problem-solving are also critical for a successful tech team. Conducting a behavioral interview can help to assess these skills, as well as the candidate’s work ethic, motivation, and ability to adapt to new technologies.
In summary, assessing technical skills during the hiring process involves a combination of tests, interviews, and references. It’s important to take a comprehensive approach to evaluate the candidate’s technical expertise, experience, and soft skills to ensure that they are the right fit for the organization.
Providing Ongoing Technical Training and Development
Providing ongoing technical training and development is crucial to building a successful tech team in Vietnam.
Here are some ways to effectively provide ongoing technical training and development:
- Set Clear Goals: Start by setting clear goals for what you want to achieve through ongoing technical training and development. This will help to ensure that the training aligns with the overall goals of the organization and the team.
- Identify Training Needs: Identify the technical skills and knowledge gaps within the team and determine the most effective training methods to address them. This can be done through employee assessments, feedback from managers, and regular check-ins with team members.
- Encourage Self-Learning: Encourage team members to take ownership of their own learning and development by providing access to online resources, books, and tutorials. Encouraging team members to participate in industry events, webinars, and conferences is also a great way to promote ongoing learning.
- Provide Mentorship: Pairing team members with experienced mentors is an effective way to promote ongoing technical learning and development. Mentors can provide guidance, feedback, and support to help team members learn new skills and overcome challenges.
- Organize Regular Training Sessions: Organize regular training sessions that focus on the specific technical skills and knowledge needed by the team. These training sessions can be conducted in-house, online or through external training programs.
- Provide Hands-on Learning Opportunities: Provide hands-on learning opportunities by assigning team members to work on projects that challenge them and encourage them to learn new skills. This can be done through hackathons, side projects, or cross-functional team collaborations.
In summary, providing ongoing technical training and development requires a comprehensive approach that includes setting clear goals, identifying training needs, encouraging self-learning, providing mentorship, organizing regular training sessions, and providing hands-on learning opportunities.
By providing opportunities for ongoing technical training and development, you can help to ensure that your tech team stays up-to-date with the latest technologies and remains competitive in the market.
Read also our article on IT upskilling strategies.
Fostering a Culture of Innovation and Experimentation
To encourage the development of new products and services, it’s important to foster a culture of innovation and experimentation.
This could involve setting aside time for team members to work on personal projects or encouraging experimentation with new technologies and approaches.
Fostering a culture of innovation and experimentation is critical to building a successful tech team.
Here are some ways to effectively foster a culture of innovation and experimentation:
- Encourage Open Communication: Encourage open communication and collaboration among team members. Create an environment where everyone feels comfortable sharing ideas, asking questions, and providing feedback. This helps to create a culture where innovation and experimentation can thrive.
- Provide Autonomy: Provide team members with the autonomy and freedom to experiment with new ideas and technologies. This allows them to take ownership of their work and explore new solutions without feeling constrained by rigid structures or processes.
- Celebrate Failure: Celebrate failure as an opportunity to learn and grow. Create an environment where failure is seen as a natural part of the experimentation process and encourage team members to share their failures and the lessons they have learned.
- Invest in R&D: Invest in research and development to encourage innovation and experimentation. This can be done by setting aside time and resources for experimentation projects or by creating a dedicated innovation team.
- Stay Up-to-Date with Industry Trends: Stay up-to-date with industry trends and emerging technologies. Encourage team members to attend conferences, participate in online forums, and network with industry experts. This helps to promote a culture of continuous learning and innovation.
- Celebrate Success: Celebrate success by recognizing and rewarding team members for their innovative ideas and contributions. This helps to motivate and inspire team members to continue to experiment and innovate.
In summary, fostering a culture of innovation and experimentation involves creating an environment where open communication, autonomy, failure, R&D, industry trends, and success are encouraged and celebrated.
By fostering this culture, you can help your tech team to stay at the forefront of industry developments and drive innovation within your organization.
By identifying the specific technical skills required, assessing technical skills during the hiring process, providing ongoing technical training and development, and fostering a culture of innovation and experimentation, businesses can build a strong and skilled tech team in Vietnam.
4. Soft Skills
Soft skills are just as important as technical skills when building a tech team in Vietnam.
Soft skills refer to a person’s ability to interact effectively with others, communicate clearly, work collaboratively, and solve problems.
Some key considerations for soft skills when building a tech team in Vietnam include:
- Communication skills: Effective communication is essential for a successful tech team. Team members should be able to communicate effectively with each other and with clients or stakeholders. This includes being able to convey technical information in a clear and understandable way. Ideally, you should be looking to hire tech developers who are bilingual but they are few and far between as their native language is Vietnamese. Hence, we usually won’t focus too much on finding tech developers who are proficient in English. Even for the best English-speaking tech developers, their accents might also make it hard for you to understand.
- Collaboration skills: Collaboration is essential for developing high-quality products and services. Team members should be able to work effectively together, share ideas, and collaborate on projects. This includes being able to work in cross-functional teams and across different time zones. Usually, Vietnamese tech developers are collaborative and willing to listen rather than to find the next opportunity to speak.
- Problem-solving skills: The ability to solve problems is essential for a successful tech team. Team members should be able to identify problems, analyze data, and develop solutions that are effective and efficient.
- Adaptability and flexibility: In the fast-paced world of tech, team members must be adaptable and flexible. They should be able to adjust to changing requirements and work effectively under pressure.
- Leadership and management skills: For more senior positions within the tech team, leadership, and management skills are essential. This includes the ability to manage teams, delegate tasks, and provide guidance and support.
By prioritizing soft skills when building a tech team in Vietnam, businesses can ensure that team members are able to work effectively together, communicate clearly, and solve problems efficiently. This can lead to higher-quality products and services and increased client satisfaction.
5. Employee Retention
Employee retention is an important consideration when building a tech team in Vietnam.
High turnover rates can be costly for businesses, both in terms of time and money.
Tech developers are in high demand in Vietnam. If you do not spend time and effort to build a solid retention process or an enjoyable working culture, these tech developers can easily find a new company to work for.
We usually recommend focusing on providing learning and upskilling opportunities for tech personnel in Vietnam.
Tech developers are hungry to learn and are more likely to stay on in the company if such learning opportunities exist.
To retain top talent and build a strong tech team in Vietnam, some key considerations include:
- Offering competitive compensation and benefits: Providing competitive compensation and benefits is essential for retaining top talent in the tech industry. This includes salaries, bonuses, health insurance, and other perks such as flexible work arrangements and professional development opportunities. Again, the 13th-month salary is part of the compensation culture so we highly advise awarding it before the Lunar New Year.
- Providing opportunities for career growth and development: Offering opportunities for career growth and development can help to retain top talent and build a strong tech team. This could include training programs, mentorship opportunities, and access to industry events and conferences.
- Fostering a positive work environment: A positive work environment can help to retain employees and foster a strong team culture. This could include providing a comfortable and well-equipped workspace, offering employee recognition and rewards programs, and promoting work-life balance.
- Encouraging open communication and feedback: Encouraging open communication and feedback can help to retain employees by addressing concerns and fostering a culture of collaboration and continuous improvement.
- Providing opportunities for socialization and team building: Providing opportunities for socialization and team building can help to build a strong team culture and retain employees. This could include team-building activities, social events, and community outreach programs. Usually, at the end of the year or the beginning of the year, most companies will organize a work bonding trip or have massive company celebrations to mark the end of the working year.
By offering competitive compensation and benefits, providing opportunities for career growth and development, fostering a positive work environment, encouraging open communication and feedback, and providing opportunities for socialization and team building, businesses can build a strong and cohesive tech team in Vietnam while retaining top talent.
Conclusion
Building a tech team in Vietnam can be a smart strategy for businesses that are looking to tap into the country’s emerging tech talent and innovation.
However, in order to build a successful tech team in Vietnam, it’s important to carefully consider a range of factors, from developing a hiring strategy to assessing cultural fit, evaluating technical and soft skills, and retaining top talent.
When developing a hiring strategy for a tech team in Vietnam, businesses should consider factors such as sourcing channels, recruiting timelines, and screening processes.
They should also consider the unique cultural dynamics of Vietnam, including the importance of building relationships and the role of the family in the workplace.
Assessing cultural fit is also important when building a tech team in Vietnam, as it can help to ensure that team members are able to work effectively together and communicate clearly.
This could involve evaluating factors such as language proficiency, communication styles, and work values.
Technical skills are also an important consideration when building a tech team in Vietnam.
Businesses should evaluate candidates’ technical skills through a range of methods, such as coding tests, technical interviews, and project-based assessments.
Soft skills are equally important, as they can help to ensure that team members are able to work collaboratively, communicate effectively, and solve problems efficiently.
Key soft skills to look for include communication skills, collaboration skills, problem-solving skills, adaptability and flexibility, and leadership and management skills.
Finally, retaining top talent is critical for building a strong and successful tech team in Vietnam.
This could involve offering competitive compensation and benefits, providing opportunities for career growth and development, fostering a positive work environment, encouraging open communication and feedback, and providing opportunities for socialization and team building.
By carefully considering these factors and prioritizing the development of a strong and skilled tech team in Vietnam, businesses can position themselves for success in the global tech industry.
With Vietnam’s emerging tech talent and innovation, building a tech team in Vietnam can be a smart strategy for businesses that are looking to stay ahead of the curve and drive business success in the years to come.
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