Software Outsourcing
According to industry sources on December 19, an increasing number of Korea’s small and medium-sized software companies such as Andwise, Namo Interactive, and Tomato System are recruiting developers from Vietnam, in the face of difficulties in finding talented software developers in Korea. Those firms are developing new services and upgrading products using these local employees.
“A considerable number of Korea’s Yonsei and Korea University-level students, such as those from Ho Chi Minh City University of Technology and Hanoi University of Technology are hired,” said, Kim Tae-sik, Head of ActsOne. The company has been providing software outsourcing services to Korean firms since the establishment of the Offshore Development Center in HCMC, Vietnam in November 2010.
Kim continued by saying, “Korean companies think that the idea that high-quality products can be made based on cheap and skilled workers is very attractive.” However, he advised that firms that have already hired Vietnamese people should also consider additional elements after recruitment, rather than just focusing on low labor costs or other piecemeal aspects.
Kim Sang-bae, Head of Namo Interactive, said, “Vietnamese employees are skilled and cheaper than Korean counterparts. But due to the difference in languages, it is necessary for Korean firms to give more detailed instructions on how to develop software, which should also be translated into English. Besides, there are definitely cultural differences.” He added, “Therefore, it is important to weigh the pros and cons of outsourcing the workforce before reaching any conclusion.”