Becoming a Fast Learner in Offshore Software Outsourcing: The Case of Vietnam's FPT Software

Abstract

Owing to India's success, offshore software outsourcing attracts much attention from developing countries as a strategic industry for economic development. Vietnam wants to follow the Indian way of development in its software industry. FPT Software is one of the top performers among software companies in Vietnam. This paper aims to investigate the success factors of the largest offshore software outsourcing company in Vietnam. We argue the key success factor of FPT Software is its learning capabilities. Based on the theories of organizational learning, we propose one aspect of organizational learning processes, i.e., knowledge acquisition, as a key to explaining how FPT Software became a fast learner. While discussing the significance of this process in the company's organizational learning, we identify and discuss the roles played by actors in the case including the CEO, Japanese clients, Indian and Chinese competitors. In conclusion, we contend organizational learning is a key success factor of developing offshore software outsourcing businesses.