Dr Reddy's to invest in startups

Dr Reddy's Laboratories (DRL) will be investing in startups besides partnering with external entities for research and innovation.

"You cannot expect people to focus on increasing market share, growth, and driving the business while also disrupting the world. So for the disrupt part, we are re-architecting our organisation. This has to be outside the mainstream," DRL chief executive officer and co-chairman G V Prasad told global consultancy firm McKinsey in an interview.

"We have a couple of initiatives going on a new-ventures group, as well as someone in the US who looks at emerging technologies. We will invest in startups. All innovation that cannot be done internally, we have to do it externally or partner with someone or invest," he added when asked how the company builds for the future.

"Today, innovation is either R&D or collaborative R&D outside our existing core businesses or by acquiring technology platforms. We are going to have another leg where we will focus on small companies, universities, and ideas and back people from outside and inside to build businesses," he said.