With a low-cost, young and trainable workforce, political stability and improved business environment, Vietnam has been emerging as a new outsourcing destination, especially in the software development industry. Many big US and European companies have started establishing outsourcing bases in Vietnam, and many others have shifted their activities from other well-recognized and mature markets such as China, Thailand, the Philippines or India, to this new market.
While not yet having broad recognition in the software development industry, the engineering outsourcing market in Vietnam has started to be noticeable and it makes sense for US and European companies to look here for cost-effective solutions to their projects.
Mr Dan S. Christensen, Managing Director of DK Engineering Ltd., a Danish owned and managed company registering an outsourcing base in Hanoi, Vietnam, shared his experience in engineering outsourcing activities in the country and his company with reporter Trang Tien.
Could you please briefly introduce DK Engineering Ltd. and share with us some of its business achievements since its establishment in Vietnam?
DK Engineering Ltd. (DKE) is a Vietnam-registered company managed by Danish owners. Our services include Mechanical and Electrical (M&E) design, engineering, documentation and supervision; project development and management, as well as technology representation for Danish companies in Vietnam.
Over six and a half years of operation in Vietnam, DKE has signed and successfully completed more than 40 contracts with high quality services provided to clients world-wide. Last year, we just completed the engineering and documentation for E&M systems for Hanoi New Metro Line 2 elevated and underground railway stations (with Systra Group, France), Power Plant in Middle East (with Semco Maritime, Denmark) and ABB Factory in Vietnam (with ABB) as well as project development for Dung Quat Vocational College in Quang Ngai province, Vietnam (with Desmi Contracting A/S, Denmark).
We are now carrying out the design, engineering and documentation for M&E utility and building installations in connection with turnkey power plant project in Mwanza, Tanzania (with Semco Maritime A/S); the project management and site supervision for ship reporting stations at the Sunda and Lombok straits as well as 18 harbours throughout Indonesia (with Kongsberg Norcontrol IT AS – Norway), and a number of new cement plants for LV Technology.
How do you evaluate Vietnam as an outsourcing destination in general, and in the engineering industry in particular?
Vietnam has advantages as an outsourcing destination such as: political stability and a large, trainable and low-cost workforce compared to other countries in the region. I have also noted that outsourcing activities in IT in Vietnam are increasing
With a large number of engineers graduating annually from universities in Hanoi and Ho Chi Minh City, as well as coming back from overseas with good English and working skills and good attitudes, Vietnam is growing to be a promising engineering outsourcing market.
What are DKE's advantages as an outsourcing partner?
We have many advantages. Some are an effective combination of Danish management and Vietnamese experienced engineers; efficient quality control system ISO9001:2008; flexibility in cooperation, and intensive experience working over distance with world-wide clients.
In response to climate change effects, what has your company done so far, not only in Vietnam but also in other countries?
We are a founding member of Vietnam Green Building Council and have provided strong support for a more sustainable built environment in Vietnam.
In all projects we have carried out world-wide, we have taken the environment issue very serious and tried constantly, together with our clients, to look for new and better solutions to protect the environment.
Vietnamese
