Virtusa eyes healthcare, pharma sectors

Virtusa Inc, a US-based software development and IT services provider, plans to develop solutions for the healthcare and pharma sectors. In India, Virtusa has two advanced technology centres (ATC) "" one in Hyderabad and the other in Chennai.

Speaking to Business Standard, John Gills, executive vice-president of Virtusa Inc, said: "The healthcare sector has not necessarily adapted technology and the company sees this area as a potential area for growth in the coming years."

According to Gills, the healthcare sector is a people and process intensive and also the adoption rates are high in these areas and that is why the company plans to enter these sectors.

"The company understands that it is important for an independent software vendor (ISV) to innovate faster than its competition. One of the most effective ways to create a competitive advantage is to offer superior products rapidly and cost effectively," he said.

Gills said that Virtusa expects to gain entry into this sector through the small ISVs that the company helps in building products.

According to Gills, the company has acquired 12 new clients in the last quarter, out of which five were in the hi-tech and telecom sectors. Apart from these two sectors, the company also builds complex mission-critical solutions for the financial services, retail and communications sectors.

Gills said that around 60-65 per cent of the company's revenues came from the hi-tech and the telecom sectors.

"This year, we expect it to grow by around 50 per cent but out of the total revenues it would account only for around 55 per cent," Gills said. The company, which started out with the hi-tech and the enterprise divisions, has now merged both as one business entity.

Virtusa's 'Productisation' methodology unleashes the full potential of clients' software assets by consolidating disparate software assets and applications into one or more organisation specific software platforms.

These platforms are then shared across several lines of business and vertical markets to immediately reduce total cost of ownership, reduce time-to-market, and accelerate revenue creation.

"Virtusa's industry leading growth is due to its highly differentiated value proposition, an outstanding cadre of technology professionals, and its blue-chip client base. Most importantly, Virtusa's growth is a direct result of the exceptional talent, effort, and dedication of over 1,900 IT professionals. We are fortunate to have an outstanding global team that relentlessly focuses on creating client delight and building long-term client relationships," Gills said.

The company which has 1,200 employees "" 1,000 in Hyderabad and 200 in Chennai "" at present plans to increase it to around 2,000 by the end of the current financial year.

"Out of the 800 new employees 500 would be in Hyderabad and the rest in Chennai," said Santanu Paul general manager and head of productisation of Virtusa (India) Private Limited.