it services outsourcing companies

8 Major Benefits of IT Services Outsourcing Companies in Vietnam

Published June 8, 2023

As digital transformation accelerates across industries, many global businesses are rethinking how they build and manage technology. Establishing and maintaining a strong in‑house IT team often requires significant time, cost, and long‑term investment. As a result, more companies are turning to IT services outsourcing companies to stay competitive and focus on their core business.

Among global outsourcing destinations, Vietnam has become a highly attractive choice. With a growing pool of skilled engineers, competitive costs, and increasing experience working with international clients, Vietnam offers strong advantages for companies looking to outsource IT services.

In this article, we explain what IT outsourcing is, outline common outsourcing models, and explore the 8 major benefits of working with IT services outsourcing companies in Vietnam.

What Is IT Outsourcing?

IT outsourcing refers to the practice of delegating IT‑related tasks or entire systems to a specialized external provider. These services may include:

  • System and software development
  • Infrastructure management and hosting
  • Security operations and system maintenance
  • Help desk and technical support

Building and training an internal IT department requires substantial investment and ongoing management. For many organizations, this can distract from core business objectives. By working with experienced IT services outsourcing companies, businesses can reduce operational burden, control costs, and improve overall efficiency.

Why IT Is One of the Most Outsourced Business Functions

Outsourcing is widely used across industries such as construction, manufacturing, fashion, and logistics. However, IT is one of the most frequently outsourced areas because nearly every modern business depends on digital systems.

From enterprise software and cloud platforms to internal tools and customer‑facing applications, IT is now essential across all industries—including retail, healthcare, finance, government, and entertainment.

At the same time, the push for digital transformation (DX) has made IT expertise more critical than ever. Many organizations understand the importance of DX but lack the technical knowledge or internal resources to execute it effectively. This is where professional IT services outsourcing companies play a crucial role.

Common Types of IT Outsourcing

it services outsourcing companies
The main outsourcing models used by IT services outsourcing companies

Before exploring the benefits, it helps to understand the main outsourcing models used by IT services outsourcing companies.

1. Full IT Outsourcing

Full outsourcing involves delegating the entire IT system to an external partner. The outsourcing company handles everything from planning and design to development, operation, and maintenance.

This model is often used when:

  • There is no internal IT team
  • Internal resources are insufficient for large‑scale systems
  • Long‑term system ownership is required

2. Offshore Development

Offshore development is a form of full outsourcing where development and maintenance are handled by teams located overseas—commonly in countries like Vietnam.

Vietnam has gained global attention as an offshore destination due to:

  • Strong technical education
  • Growing numbers of experienced engineers
  • More competitive costs compared to Europe and North America

3. Operational Outsourcing

In this model, companies retain ownership of their systems but outsource operation and maintenance. This includes updates, monitoring, security management, and performance optimization.

Operational outsourcing is especially valuable as cybersecurity threats and system complexity continue to increase.

4. Hosting Services

Hosting involves renting infrastructure such as servers or cloud environments from an external provider. This eliminates the need to build and manage physical servers in‑house and allows businesses to scale resources as needed.

5. Help Desk Services

Help desk outsourcing covers user support, system usage guidance, and troubleshooting. Support may be provided via phone, email, or chat, and can be structured for business hours, nights, or weekends.

8 Major Benefits of IT Services Outsourcing Companies in Vietnam

it services outsourcing companies
The eight key advantages businesses gaining by working with IT services outsourcing companies in Vietnam

Below are the eight key advantages businesses can gain by working with IT services outsourcing companies in Vietnam.

1. Reduced Labor Costs

One of the most well‑known benefits is significant cost reduction.

The hourly rates of IT engineers in Vietnam are typically 20–30% of those in European countries, while still delivering strong technical output. For long‑term projects—often lasting months or years—this difference results in substantial savings.

Lower labor costs allow companies to:

  • Allocate budget more efficiently
  • Extend project scope without increasing spend
  • Invest more in innovation and growth

2. Abundant and Talented Engineers

Vietnam has invested heavily in IT education, with many top‑tier universities specializing in computer science and engineering. Students gain exposure to modern technologies through internships and real‑world projects.

Vietnam’s young population is another major advantage. A large percentage of the workforce is under 35, ensuring a continuous pipeline of motivated and adaptable engineers. At the same time, Vietnam also has a growing base of experienced senior developers.

This combination creates a deep and sustainable talent pool for IT services outsourcing companies.

3. Well‑Developed IT Infrastructure

Vietnam’s government has actively promoted digital transformation and the growth of the digital economy. As a result, the country now offers:

  • Reliable internet connectivity
  • Modern development environments
  • Growing cloud and data infrastructure

These conditions allow IT services outsourcing companies in Vietnam to operate at a level comparable to many developed markets, supporting complex and large‑scale systems.

4. Diverse Technical Skill Sets

Vietnamese engineers are known for their versatility. IT services outsourcing companies in Vietnam support a wide range of technologies, including:

  • Web and enterprise systems
  • Mobile applications
  • Cloud‑based platforms
  • AI, blockchain, and emerging technologies

In addition to programming skills, many teams also provide:

  • UI/UX design capabilities
  • Business logic analysis
  • System architecture planning

This diversity allows companies to deliver end‑to‑end solutions, not just isolated development tasks.

5. Political Stability

Vietnam offers a stable political environment, which is an important factor for long‑term outsourcing partnerships.

The country has maintained consistent economic and diplomatic policies, reducing the risk of sudden disruptions that could affect international business operations. This stability provides confidence for companies entering multi‑year outsourcing agreements.

6. Ease of Communication

English education is strongly emphasized in Vietnam, especially in technical universities. Many engineers and project managers working at IT services outsourcing companies are capable of communicating effectively with international clients.

Clear communication helps:

  • Reduce misunderstandings
  • Improve requirement accuracy
  • Maintain smooth collaboration throughout the project lifecycle

7. Active Adoption of Agile and Scrum

Agile and Scrum methodologies are widely used by IT services outsourcing companies in Vietnam, particularly in dedicated team (lab‑type) models.

This approach allows:

  • Flexible scope changes
  • Continuous feedback and improvement
  • Faster response to market or business changes

Rather than focusing only on final delivery, Agile emphasizes ongoing value creation—making it well‑suited for modern software development.

8. Honesty and Transparency

Vietnamese professionals are often recognized for their serious, sincere, and transparent working style.

For outsourcing relationships, this translates into:

  • Clear reporting and progress updates
  • Open discussion of risks and challenges
  • Strong long‑term trust between partners

These qualities are essential when working remotely with IT services outsourcing companies.

Key Considerations When Choosing IT Services Outsourcing Companies

While outsourcing offers many benefits, selecting the right partner is critical. When evaluating IT services outsourcing companies, businesses should:

  • Review previous projects and technical experience
  • Assess communication and project management style
  • Request multiple proposals to compare scope and pricing
  • Clarify contract terms, support scope, and post‑delivery responsibilities

Taking time to evaluate these factors significantly increases the chances of a successful outsourcing partnership.

Read more: What Is Offshore Development? How To Succeed In Offshore Development?

Conclusion

Vietnam has become a strong and reliable destination for global IT outsourcing. From cost efficiency and skilled engineers to modern infrastructure and agile delivery, IT services outsourcing companies in Vietnam offer clear advantages for businesses worldwide.

By choosing the right partner—such as Relipa—companies can accelerate digital transformation, reduce operational complexity, and build scalable, high‑quality systems with confidence.

Relipa Software

Relipa Co., Ltd. is a Vietnam-based software development company established in April 2016. After two years of growth, our Japanese branch – Relipa Japan – was officially founded in July 2018.

We provide services in MVP development, web and mobile application development, and blockchain solutions. With a team of over 100 professional IT engineers and experienced project managers, Relipa has become a reliable partner for many enterprises and has successfully delivered more than 500 projects for startups and businesses worldwide.

Contact our experts

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