[Mobarabu Co., Ltd.]
[A new perspective on offshore development in the era of weak yen? New formats that do not require bridge SE] Approximately 90% feel that there are issues with the “role of bridge SE” in offshore development *Mobarabu Co., Ltd.*
Press release: August 22, 2024
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[A new perspective on offshore development in the era of weak yen? New formats that do not require bridge SE] Approximately 90% feel that there are issues with the “role of bridge SE” in offshore development *～Current issues of bridge SE, such as “lack of technical
understanding” and “communication discrepancies/delays”～*
* Mobarabu Co., Ltd. (Head office: Mobara City, Chiba Prefecture, Representative Director: Kashima
Kazuo) conducted a fact-finding survey regarding offshore development targeting 105 managers, executives, corporate planning, business management, and information system personnel who are involved in system development at companies that outsource offshore development. So, I would like to inform you. *
Download this survey here: https://blog.mobalab.net/document-download-form/ * ■Survey overview*
– Survey name: Survey on the actual situation regarding offshore development – Survey method: Internet survey planned by research PR “Respy(R)︎” provided by IDEATECH
– Survey period: July 11, 2024 to July 12, 2024
– Valid answers: 105 managers/executives, business
planning/management, and information system staff who are involved in system development at companies that outsource offshore development. *The composition ratio is rounded to the second decimal place, so the total does not necessarily add up to 100.
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* ■The largest number of offshore development projects outsourced is “medium scale (10 or more people to less than 50 people)” at 45.7%* * “Q1. Please tell us about the scale of your current offshore development project.” * (n=105)
17.2% answered “small scale (less than 10 people)”, 45.7% said “medium scale (10 to less than 50 people)”, and 35.2%* answered “large scale (more than 50 people)”.
Q1. Please tell us about the scale of your current offshore
development project.
* ・Small scale (less than 10 people): 17.2%*
* ・Medium scale (10 to less than 50 people): 45.7%*
* ・Large scale (50 or more people): 35.2%*
・Don’t know/can’t answer: 1.9%
* ■Reasons for conducting offshore development at work: 1st place: “To reduce labor costs”, 2nd place: “Because there is a shortage of IT human resources in Japan” *
* “Q2. Please tell us why your company does offshore development. (Multiple answers allowed)” * (n=105)
57.1% said “To reduce labor costs”, 52.4% said “Because there is a shortage of IT personnel in Japan”, and 48.6% said “To secure IT personnel with advanced skills”*
That was the answer.
Q2. Please tell us why your company does offshore development. (Multiple answers)
* ・Reduced labor costs: 57.1%*
* ・Due to lack of domestic IT human resources: 52.4%*
* ・To secure IT human resources with advanced skills: 48.6%* ・To create a dedicated development team overseas: 40.0%
・To shorten delivery time: 21.9%
・Others: 0.0%
・Nothing in particular: 1.9%
・Don’t know/can’t answer: 0.0%
* ■Main development bases for offshore development projects, such as “Vietnam”, “Philippines”, “China”, etc.*
* “Q3. Please tell me the main development base for your current offshore development project.” * (n=105)
23.8% said “Vietnam”, 18.1% said “Philippines”, and 17.1%* said “China”. Q3. Please tell us the main development base for your current offshore development project.
* ・Vietnam: 23.8%*
* ・Philippines: 18.1%*
* ・China: 17.1%*
・India: 16.2%
・Myanmar: 12.4%
・Bangladesh: 3.8%
・Other: 1.9%
―47 years old: Bolivia
・Don’t know/can’t answer: 6.7%
* ■86.6% feel that there are issues with offshore development at their workplace*
* “Q4. Do you feel that there are any issues with offshore development at your company?” * (n=105)
31.4% of respondents said they felt it very much, and 55.2%* said they felt it somewhat.
Q4. Do you feel that there are any issues with offshore development at your company?
* ・I feel it very much: 31.4%*
* ・Somewhat: 55.2%*
・I don’t really feel it: 12.4%
・Not feeling it at all: 0.0%
・Don’t know/can’t answer: 1.0%
* ■Main challenges in offshore development in 2023: “Unable to maintain quality/difficult to control quality” was the most cited at 69.2%*
For those who answered “I feel very much” or “I feel somewhat” in Q4, * When asked “Q5. Looking back at 2023, what are the main challenges in offshore development? (Multiple answers allowed)” * (n=91) * 69.2% said “Quality cannot be maintained/quality control is
difficult”, 47.3% said “Bridge SE is not functioning well”, and 46.2% said “There are discrepancies/delays in communication”*
That was the answer.
Q5. Looking back at 2023, what are the main challenges in offshore development? (Multiple answers)
* ・Quality cannot be maintained/Quality control is difficult: 69.2%* * ・Bridge SE is not functioning well: 47.3%*
* ・There are discrepancies and delays in communication: 46.2%* ・Costs such as personnel expenses are rising (effects of weak yen, etc.): 45.1% ・There is no cost benefit depending on the scale of the project: 35.2% ・There is a difference in the quality of engineers: 27.5%
・Delivery delays often occur: 20.9%
・Human resources are not retained and it takes time to take over: 17.6% ・Others: 0.0%
・Nothing in particular: 0.0%
・Don’t know/can’t answer: 0.0%
* ■88.5% answered that they had “experienced issues with the role of a bridge system engineer” in offshore development*
* “Q6. Have you ever felt any issues with the role of a bridge system engineer in offshore development?” * (n=105) When asked, *
26.6% answered “often” and 61.9%* answered “sometimes.”
Q6. Have you ever felt any issues with the role of a bridge system engineer in offshore development?
* ・Frequently: 26.6%*
* ・Sometimes: 61.9%*
・Not much: 8.6%
・Not at all: 1.0%
・Don’t know/can’t answer: 1.9%
* ■ Bridge SE issues include “lack of technical understanding” and “communication discrepancies/delays”*
For those who answered “Often” or “Sometimes” in Q6, * “Q7. Please tell us how you feel about the current issues in Bridge SE. (Multiple answers allowed)” *
When asked (n=93), *
72.0% said “lack of technical understanding”, 62.4% said
“communication discrepancies/delays”, and 38.7% said “increase in project management and related work (load of explanatory document creation, etc.)”*
That was the answer.
Q7. Please tell us what you feel about Bridge SE’s current issues. (Multiple answers)
* ・Lack of technical understanding: 72.0%*
* ・Communication discrepancies/delays: 62.4%*
* ・Increase in project management and related work (load of
explanatory document creation, etc.): 38.7%*
・Delay due to time difference: 32.3%
・Others: 1.1%
・I don’t know/can’t answer: 0.0%
* ■What you need to do to build a system that does not require bridge SE at your workplace, such as “enhancing documentation” and “using translation tools, etc.”*
* “Q8. If your company were to build a system that does not require bridge SE, what do you think would be necessary? (Multiple answers allowed)” *
When asked (n=105), *
58.1% said they would “enhance documentation,” 49.5% said they would use translation tools, etc., and 48.6% said they would “enable direct communication with offshore companies.”*
That was the answer.
Q8.If your company were to build a system that does not require a bridge system engineer, what do you think would be necessary? (Multiple answers)
* ・Improve documentation: 58.1%*
* ・Use translation tools, etc.: 49.5%*
* ・Enable direct communication with offshore companies: 48.6%* ・Enable sharing of code etc. in real time (using GitHub etc.): 43.8% ・Use generation AI tools, etc.: 34.3%
・Request from a company where a local Japanese person originally works: 21.9% ・Establish a local subsidiary: 14.3%
・Others: 0.0%
・Nothing in particular: 0.0%
・Don’t know/can’t answer: 1.0%
* ■When it comes to offshore development, the most common barrier to direct communication in another language is “understanding the culture, customs, and national character of the outsourced country” at 58.1%*
* “Q9. What do you feel are the barriers to direct communication in other languages during offshore development? (Multiple answers)” * When asked (n=105), *
58.1% said “understanding the culture, customs, and national character of the outsourcing country,” 55.2% said “differences in requirements, test results, quality nuances, and expectations,” and 48.6% said “language skills (language barrier).”*
That was the answer.
Q9. What do you feel are the barriers to communicating directly in other languages during offshore development? (Multiple answers) * ・Understanding the culture, customs, and national character of the outsourcing country: 58.1%*
* ・Differences in requirements, test results, quality nuances, and expectations: 55.2%*
* ・Language ability (language barrier): 48.6%*
・Time difference of the outsourcing country: 41.9%
・Emergency response: 27.6%
・Others: 0.0%
・Nothing in particular: 0.0%
・Don’t know/can’t answer: 1.0%
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■About 90% of companies are considering a “new type” of offshore development, where smooth collaboration can be achieved by forming partnerships with companies that have a mix of Japanese and foreign employees, or companies that have Japanese engineers at overseas bases. I would like*
*
“Q10. I would like to consider a “new type” of offshore development in the future, where smooth cooperation can be achieved by forming a partnership with a company that has a mix of Japanese and foreign employees or a company that has Japanese engineers at overseas bases. Do you have it? ”*
(n=105), *40.0% answered “strongly agree” and 49.5% answered “somewhat”*. Q10. I would like to consider a “new type” of offshore development in the future, which would allow for smooth collaboration by forming partnerships with companies that have a mix of Japanese and foreign employees, or companies that have Japanese engineers at overseas bases. mosquito.
* ・Strongly agree: 40.0%*
* ・Somewhat agree: 49.5%*
・I don’t really think so: 6.7%
・Not at all: 1.9%
・Don’t know/can’t answer: 1.9%
* ■Summary*
This time, we conducted a fact-finding survey regarding offshore development targeting 105 managers, executives, corporate planning, business management, and information system personnel who are involved in system development at companies that outsource offshore
development.
Regarding the scale of offshore development projects currently outsourced, the most common size (45.7%) was “medium scale (10 or more people to less than 50 people).” Reasons for offshore development are often cited as “reducing labor costs” (57.1%) and “shortage of domestic IT human resources” (52.4%). However, 86.6% feel that offshore development has challenges, with “Unable to maintain quality/difficult to control quality” (69.2%) as the biggest challenge.
Next, 88.5% of respondents felt that there were issues with the role of bridge SE, with “lack of technical understanding” (72.0%) and “communication discrepancies/delays” (62.4%) cited as top issues. . In addition, in order to build a system that does not require bridge SE, it is considered necessary to “enhance documentation” (58.1%) and “utilize translation tools” (49.5%). Finally, about 90% of respondents are considering new forms of offshore development (partnerships with companies that have both Japanese and non-Japanese employees, or companies that have Japanese engineers located overseas). I answered that I would like to.
Our research reveals that many companies face quality control and communication challenges when developing offshore. There is a strong sense of challenge regarding the role of bridge SE, and the main issues are discrepancies in technical understanding and communication. In addition, although offshore development has been used to reduce costs, there is a risk that the depreciation of the yen and economic growth in major offshore development countries will lead to increased labor costs, leading to higher costs. , its cost-effectiveness is under re-evaluation.
Possible ways to resolve these issues include outsourcing to companies with both Japanese and foreign engineers, companies with Japanese engineers located overseas, and using offshore development support services. These methods can be expected to improve communication efficiency and quality control, and reduce the risks of offshore development.
Download this survey here: https://blog.mobalab.net/document-download-form/ Mobarabu, which has extensive experience in developing mobile apps and web services and building systems using AWS, provides results that exceed customer expectations.
Mobarabu Co., Ltd. utilizes a mixed team of Japanese and foreign engineers to provide a system development system with high quality and excellent cost performance.
*Strength 1: High-quality development*
Mobarabu Co., Ltd.’s development team has a large number of highly skilled engineers, making it possible to develop high-quality systems. Furthermore, by standardizing work and eliminating individualization, we have created a system to maintain the same quality of work even if members are replaced.
*Strength 2: Reasonably priced system*
Mobarabu Co., Ltd.’s system development system is not cheap, but is provided at a “reasonable price.” We offer our clients a transparent fee structure by eliminating hidden costs and setting competitive prices.
*Strength 3: Flexible response*
At Mobarabu Co., Ltd., we flexibly handle projects that are difficult for other development companies. We respond to a variety of needs, including emergency response, handover of another company’s project (replacement project), and small-scale projects (partial work only). If you have any problems, please feel free to contact us.
For more information: https://mobalab.net/
■Company overview
Company name: Mobarabu Co., Ltd.
Established: June 2013
Representative: Representative Director Kazuo Kashima
Location: 910 Chizawa, Mobara City, Chiba Prefecture
Business content: Software contract development
Support for remote work introduction, overseas expansion, etc.
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URL: https://mobalab.net/