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In today’s fast-paced digital world, Offshore Development Centers (ODCs) are becoming key tools for businesses aiming to boost their tech capabilities without breaking the bank.
GEM Corporation has been empowering businesses worldwide with a track record of highly regarded ODC projects. Based on our experience, this article will list the hallmarks of success for these projects and help you navigate your ODC investments.
Are you curious how a leading ODC provider makes these desirable characteristics possible? Check out the detailed insights from Mr. Ngo Khanh Hoang, GEM’s CEO!
Are you looking for an outstanding ODC provider that will propel you to success? These free RFP templates will help you find the right help for your next IT outsourcing project with ease.
Understanding what an ODC means and Why Vietnam?
Offshore Development Centers (ODCs) are a company’s overseas branches for IT services. This model helps companies focus on their main operations while benefiting from the tech expertise and skills available in other regions. Therefore, they are an integral part of enabling cost-effective digitization and scaling.
With these key benefits, more and more global businesses opt for ODCs to extend their digital capabilities. Vietnam is a highly popular destination for establishing these teams, characterized by a dynamic and young workforce (nearly 500,000 developers), competitive labor costs, and a strategic location.
Key characteristics of a successful ODC project
In this section, GEM outlines five features distinguishing a triumphant ODC project from the rest.
Cost-effectiveness
An ODC project is considered cost-effective when it optimizes the values gained from the client’s investment without sacrificing quality.
To make your money count, make sure your IT partner has:
- A defined plan for resource allocation that is adaptive to the project’s evolving requirements. This meticulous plan is especially essential for long-term projects since you will need your ODC to become available and ready for changes in scope quickly.
- Transparent and efficient communication: The provider and your business should agree on communication channels and the frequency of updates or reports. Any issue should be duly reported and acknowledged so that you won’t have to pay for costly reworks.
- Standardized development process: A competent provider should prove their delivery process is efficient and can guarantee short time-to-market and satisfactory outcomes. You may want to look for award-winning vendors with CMMI appraisal results and ISO certificates.
Cultural alignment
When working with an offshore team, conflicts stemming from cultural differences and work ethics are almost unavoidable. However, they can be solved with proactive efforts and conflict resolution strategies.
From the observation of GEM’s experts, our most successful ODC projects tend to have:
Established shared goals and values
Both teams must communicate shared values, goals, and objectives to foster a sense of unity and alignment among team members. This ensures everyone is on the same page and minimizes confusion.
Direct meetings and exchanges
Many of our offshore projects include cultural exchanges between representatives from both sides through activities such as yearly visits and team-building sessions. These exchanges allow the client and GEM members to interact, share experiences, and gain insights into each other, which are immensely helpful for our collaboration.
By fostering an environment of trust and respect despite cultural differences, teams can effectively resolve cultural conflicts and maintain productive working relationships.
Round-the-clock productivity
A successful ODC should demonstrate one of its most prominent benefits – round-the-clock productivity.
Let’s take an example. In a current project of GEM (based in Hanoi, Vietnam) and our client (based in New Zealand), we adopt what we refer to as the “round-the-clock delivery model.” We tend to receive requests from our client at the beginning of our day, hence having more working hours to get them done.
In addition, both teams are available for approximately 3 hours each day. This period is explicitly allocated for strategic activities such as brainstorming, review sessions, and decision-making.
As you can see, we are leveraging time differences between the two teams to extend the active working hours.
Strong data security measures
Data security is another vital component of a successful ODC project. It ensures project integrity and client confidence and mitigates legal liabilities.
In this regard, the level of data security you can receive is largely based on the capability of your chosen ODC provider. Here are the characteristics that represent one such vendor:
Certification and compliance commitment
The ODC provider holds relevant certifications such as ISO 27001 for information security management and demonstrates compliance with data protection regulations like GDPR, HIPAA, or PCI DSS.
Transparency and accountability
The provider is transparent about its data security practices, readily providing clients with information and documentation regarding security measures, compliance status, and incident response capabilities.
Physical and digital security measures
The ODC implements physical security measures at their facility and robust digital security measures such as authorized access management, firewalls, antivirus software, and intrusion detection systems.
Employee training and awareness
We suggest you work with a provider that invests in employee training and awareness programs. These programs help educate staff on data security best practices, policies, and procedures. For example, GEM’s development team members receive security training every six months.
Sufficient tech infrastructure for collaboration and deployment
Several indicators can help businesses assess whether their project is backed by solid technological infrastructure.
Smooth communication
It indicates a robust tech infrastructure if teams can communicate seamlessly through various channels (e.g., email, messaging platforms, video conferencing) without experiencing significant delays or technical issues.
Reliable connectivity
Stable internet connectivity is evidenced by minimal downtime or disruptions during work hours.
For instance, seamless communication across various channels like email, messaging platforms, and video conferencing without significant delays or technical glitches exemplifies this reliability.
Access to necessary tools
The ODC team should have access to essential development tools and software, such as project management software and collaboration platforms, required for their tasks.
Minimal technical issues
Fewer technical issues or disruptions during development activities suggest that the tech infrastructure is stable and well-maintained.
Closing remark
In summary, identifying a successful offshore development center (ODC) project hinges on recognizing the synergy between key elements that drive efficiency, innovation, and client satisfaction. Beyond the surface, it’s about the intangible qualities—like a shared commitment to excellence, proactive problem-solving, and a culture of collaboration—that truly set apart exceptional ODC partnerships.
See it to believe it
Are you looking for an outstanding ODC provider that will propel you to success? GEM Corporation has worked with global businesses across industries to run high-performing ODCs that help them boost revenue, strengthen customer satisfaction, and accelerate in a competitive landscape.
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