Jack Hill may not have foreseen the massive revolution telecommuting would create in the global work scene when he postulated a flexible working structure for workers who reside in distant locations in his book “Telecommunications-Transportation Trade-off”.
Today, remote work has become a fast-growing trend in the tech ecosystem with more start-ups using remote teams as opposed to resident staff, proving that remote work works.
Despite the difficulties in setting up such structures, remote work has proven that its benefits far supersedes the cost with visible evidence of increased productivity, progressive workforce, employee satisfaction, reduced cost of business operations and geographical impact.
This new wave seems to be thriving more in Southeast Asian than other parts of the world.
Southeast Asia prides itself as the hub for telecommuters and digital nomads with countries such as Malaysia, Cambodia, Thailand, Singapore and Vietnam taking the lead.
Over the years, these regions have emerged as the most popular pools for remote workers which have proven to be beneficial to the growth and expansion of local start-ups. This does not come as a surprise as these digital hotspots boast of a fast-paced tech scene, flexible organisational structures, efficient networking systems and an extensive pool of young talents.
Here are some reasons remote work has become increasingly popular recently in Southeast Asia.
Thriving tech and startup Ecosystem
Southeast Asia has made great strides in technology and digital innovation development. Regions like Singapore and Malaysia appear to be taking the lead in this highly competitive entrepreneurial scene.
Singapore ranks second in the list of countries whose market scene promotes ease of doing business, with Malaysia trailing behind in 13th place. These regions boast of an internet economy of over US$100 billion. Local start-ups are pulling their strings to become major disruptors in the global market.
This has attracted more financial investment and partnership with Chinese tech giants like Alibaba, Tencent, Softbank, and other US based companies which accounts for 25 per cent capital infusion in these regions.
This rapidly growing economy creates more opportunities for remote workers due to the need for increased human capital to foster innovative and entrepreneurial activities. With better infrastructure, resources, internet connectivity and training, it becomes easy to build formidable remote teams for effective growth and scalability of local businesses.
Access to a wide pool of creatives
Southeast Asia is not regarded as the home to talents of the future for nothing. Singapore, Thailand and Malaysia were listed among countries actively investing in the younger generation to build the tech scene.
Its talent pool of young tech-savvy individuals accounts for over 50 per cent of its massive population of 660 million people and is said to grow by 10 percent each year. This implies more influx of young talents into the workforce which includes indigenously trained talents, remote workers, digital nomads, and students studying abroad categorised as the sea turtles who return to their home country to launch their career.
With more start-ups springing up in this booming economy, it creates a conducive system, flexible work schedule and collaborative work structure to nurture these budding talents. This is geared towards building a well organised and tech-savvy network.
Exotic travel destinations
It’s no secret that Southeast Asia is the most beautiful place one would love to visit and live in. From the aesthetic cities, scenic beaches, cool weather, historic sights, mountains, and delicious cuisines; employees and digital nomads are often spoilt for choice.
Cities like Thailand and Singapore offer urban scenery with a well structured public transportation system, free WiFi spots, and cafes. The bustling digital communities are filled with excellent co-working spaces that offer fast internet connectivity and lots of networking opportunities for remote workers and local entrepreneurs working from home.
The pleasant ambiance creates a relaxed atmosphere for working remotely with a network of highly skilled professionals. Foreigners are constantly visiting and settling in these cities to have a taste of the exquisite lifestyle while living on remote or part-time work.
Low living costs
Finally, the cost of living in Southeast Asia is relatively low compared to other countries in the world like the United States, Europe, and Australia.
One can afford decent accommodation, food, and a comfortable lifestyle while working remotely. The expenditure of a typical remote worker or digital nomad in regions like Thailand, Indonesia and Vietnam in a month runs into an average of US$1,000.
Also read: The future of remote work is happening now, here’s how to make it work for you
However, consumables in Singapore appear to be slightly less affordable than in other cities.
Due to the reduced cost of living, local start-ups and businesses can easily set-up their offices and hire remote workers which requires a quarter or less of what it costs to pay a full-time qualified staff. These remote teams reduce expenses incurred on office overhead as workers won’t have to commute and work from the office daily.
This also creates room for other organisational expansion and investments which can be accessed at cheaper rates.
Conclusively, remote work is the future for startups. This trend of working with remote teams will possibly grow and spread to other global markets as more start-ups and businesses are keying into the new ecosystem.
As it appears, Southeast Asian will be at the centre of this disruption with an increased influx of young tech-savvy talents into their workforce as remote staff.
With their impressive tech scene, an extensive pool of creatives and reduced cost of living, there are more potentials for innovative growth and development.
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