"We are looking at taking this partnership to customers in India as well as customers at the Asia-Pacific and eventually at the global level" said A M Naik, MD and CEO, Larsen and Toubro. L&T also announced that LTITL will make an initial public offering by June 2001. L&T is currently in the process of implemeting an end-to-end business process solution at all its business units using SAP's R /3 business framework. "We hope to have the framework in place for the cement, valves and ENC divisions by September" added Naik.

L&T electrical business group has already adopted the mySAP.com model. "By the time we are through with implementing SAP in our various business units, we will have the expertise to implement SAP across the indusries in which L&T currently has a presence" said Naik, explaining the rationale behind the alliance. Naik also announced that revenues from information technology will account for about 20 per cent of the group's total turnover within the next six years. The contribution from this sector currently stands at about two per of the total revenues for the group. Naik said that the group has decided to focus on information technology, cement, engineering projects and high end engineering consultancy, thereby reiterating its resolve to be a key player in the knowledge management era. L&T and SAP have also announced the creation of a business-to-business portal LNTEGB.com for L&T's electrical business group. Plans to set up portals for the company's engineering and construction divisions are also on.