News | December 30, 1997

Monsanto and IBM Announce Strategic Technology Alliance

Monsanto Co. (St. Louis, Mo.) and IBM Corp. (Armonk, N.Y.) have formed a tripartite technology alliance that will integrate genomics research, provide enterprise-integration services, and outsource Monsanto IT tasks to IBM.

Scientists from the two companies will work together to develop and apply advanced information technologies to identify and map the genetic structure of major plant groups and human diseases, building on Monsanto's existing genomics research. Using Teiresias, a next-generation pattern discovery algorithm developed by IBM Research, the scientists expect to significantly speed discovery of hidden patterns in DNA and protein databases, leading to faster development of new life sciences products by Monsanto.

"Monsanto sees genomics as a key enabling technology for dramatically increasing the speed and precision with which we can research, develop and bring to market new products," said Patrick Fortune, chief information officer for Monsanto. "This collaboration with IBM Research will add significant new technology tools to our expanding genomics capabilities."

The second component of the IBM/Monsanto alliance is the creation of an IBM/Monsanto Solution Center to help other companies implement Enterprise Resource Planning (ERP) systems. These are business management software systems that integrate financial data with other functions in an organization, such as inventory management and production, giving executives a comprehensive overview of operations. The Solution Center will offer workshops, software and tools that help clients implement ERP systems in a cost-effective and timely manner.

The final component of the alliance is a 10-year outsourcing agreement whereby IBM Global Services will provide Monsanto with data center management, help desk operations, and support for 8,000 desktop systems including local and wide-area network management. IBM has offered employment to the 150 Monsanto IT professionals affected by this decision, giving them the opportunity to use and expand their skills with the world's largest IT services provider.

Monsanto expects the alliance to improve its abilities to serve agriculture, nutrition and healthcare markets.