Mumbai, Nov 7: British healthcare giant Glaxo Wellcome Plc may look at partnering Internet- based companies that offer services in line with the group's business strategies. Glaxo Wellcome spends around 4 per cent of its global revenues on IT and has 20,000 pages of information across 13 companies.In an exclusive interview with The Financial Express Glaxo Wellcome Plc director (group information systems), Paul Bilewiez, said, "We could look at companies (we partner with those kinds of companies now) that offer services that are in line with our business strategies. For example at iVillage.com (a US-based women's network), we sponsored some of the information/activities on that site. So if you sign onto iVillage, you will find a smoking cessation programme which provide you tools in counselling etc.".
Bilewiez said that this was not direct promotion of any product. It provides ways to help people deal with diseases in which Glaxo Wellcome has an important franchise.
On whether Glaxo Wellcome couldconsider acquiring an internet-based company/online pharmacy, he said, "I would be surprised if we would, because that's not core to our business. We might use that as a way for experimenting (I sure would not rule that out) but we are never going to become an internet company".
Bilewiez was in Mumbai to make a presentation on how Glaxo was leveraging the internet technology for enhancing competitiveness, organised by the Bombay Chamber of Commerce & Industry. Earlier, Bilewiez said that Glaxo Wellcome had yet to decide whether the company should "wait until the value of the internet is proven and then respond" or "be a fast follower once an innovator demonstrates successful implementation".
On whether the varied levels of readiness on Y2K projects in countries ranging from China to the US could pose problems, Bilewiez said, "The market that is likely to suffer most damage in year 2000 might be the US. So, even though they have spent much more on Y2K and have done much more in terms of testing andcontingency planning, it is also the country that is most dependent. So, a small problem will have a more serious effect".
He added that at Glaxo Wellcome, the same programme that is "as comprehensive" and being followed in the US, is being used in China and India as well. "For those things that we can control, we will have the problem solved and we have contingency plans in case there is a failure. But if you are saying that can I guarantee that there will be no problem, the answer is no. Nobody can guarantee that. But, we will not have any significant disruptions in Glaxo Wellcome and that includes the Indian operations".
International media reports quote a recent US Senate Y2K committee study which says," the failure of other nations to fix their bug problems could cause global disruptions that wash up on our shores". The level of readiness, experts say, varies from good in Mexico and parts of Europe to abysmal in China and Indonesia.
On whether Y2K bug continues to dictate how companies spend theirtechnology dollars, he said, "Some companies have accelerated tech spending. Many companies now are looking at minimising any new activity and whereas we are still may be doing systems development, we are very reluctant to put anything into production that might have any impact on areas that we have already tested. So the trend I'm seeing is software purchases are declining".
He added that Glaxo Wellcome was not spending money on software packages at the end of this year but that would "probably change next year". "All the spending has been done much earlier. We are not trying to introduce new technolgy during this period. But we will be back in normal mode for acquisition of technology sometime in the new year," he said.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.