Outsourcing is an effective method of executing business tasks through cost-effective
resources located in regions outside of the primary country.
In its infancy, outsourcing began as a way for businesses to seek overseas low-cost human
capital to perform non-essential duties, however, as the world has advanced, so has the
sophistication and education of societies and culture, meaning countries like Vietnam now
have a comprehensive education system where 12 years of schooling is mandatory followed
by the availability of university study.
How about Vietnamese accountants and bookkeepers? Take accounting for example, students can undertake a three-year accounting degree in one
of the many universities in Vietnam.
For instance, RMIT offers a three-year Bachelor of Accounting which teaches the
International Financial Reporting Standards (IFRS), which by 2025 will be a national
compulsory for State Owned Enterprises, listed companies, and large-scale unlisted public
companies in Vietnam.
The fact that Australian universities have established accounting degrees in Vietnam should
give Australian businesses comfort that the skills and methodology taught are in-line with
what is taught in Australia.
For Australian companies this means they can rest assured that if they outsource their
accounting and bookkeeping to Vietnam, they will be putting the work in capable, well-
educated and professional hands.
Vietnamese accounting graduates can also become CPA qualified by undertaking formal
studies to attain this qualification. There is also the Vietnam Association of Certified Public
Accountants, which is the professional body of Vietnamese citizens holding certificates of
auditors and for audit firms in Vietnam.
The numbers of chartered accountants in Vietnam are growing by the year and will continue
to increase as the Institute of Chartered Accountants in England and Wales (ICAEW) rolls out
its courses in Vietnam-based educational institutions.
So, do Vietnamese accountants and bookkeepers understand Australian tax laws?
The great advantage of outsourcing your accounting and bookkeeping tasks to Vietnam is
that you can train them the way you want to. You might now be wondering how you train
someone remotely. Well, with current web-conferencing and collaboration technology plus
the availability of online training this is not something you need to worry about.
Also, consider the fact that your outsourced team don’t need to be tax law specialists
because that is a completely different area of speciality, they just need to understand what
you need them to do. This can be very managed with comprehensive training, process documentation and watertight systems; which not only help with your outsourcing initiative
but is a must for any company serious about growth and scale.
Long-term benefits of using Vietnamese accountants and bookkeepers
Whether you enrol your Vietnamese accountant and/or bookkeeper in a specific tailored
course or you establish your own to meet the needs of your business, it is a great stepping
stone in building an effective, working relationship with your outsourced team.
Building an offshore, outsourced team can sometimes seem like a massive task. We’re not
going to lie to you, it is time consuming and should be a main focus for the first 3 to 6
months. But this is no different to when you hire staff locally. There is always a training and
onboarding component at the beginning for any new hire and this continues throughout the
initial 3 to 6 month probationary period. However, once you are through the other end and
your outsourced team is humming, the benefits to your business will be massive. You will
have a low cost function consisting of loyal and skilled team members who are specialists in
the tasks you have them completing. Not only will they cost less than local resources, but
because they are completing a defined set of tasks they will eventually execute those tasks
faster and more accurately than local resources who are responsible for a broader set of
Working for you, not against you
The key with any business relationship is to establish a good rapport and clear
communication from the outset. The fact that Vietnam is only three hours behind Australian
eastern standard time (no different to Western Australia during daylight savings) means you
can communicate throughout the day and set tasks to be completed overnight.
Utilising the skills of a qualified accountant and/or bookkeeper for vital assignments could
give you a competitive advantage over your business rivals, as the opportunity cost is no
longer lost, and you can focus more on growing and scaling your business.