Merged Corp. Consolidates Travel
<I>East Hanover, N.J.</I> - Novartis Pharmaceuticals Corp. is a new name on the list of major American corporations, and its corporate travel program is headed by a new figure in the industry. But with a $20 million-plus domestic air volume account and Sandoz Pharmaceuticals director of administrative operations Rudy Monteleone acting as his guide, Paul Tomaszeski should have little trouble making contacts-or cutting deals.
Formed by the merger of Sandoz and Ciba Pharmaceuticals, Switzerland-based Novartis is now the second-largest company in the rapidly consolidating global pharmaceutical industry. Tomaszeski, the former controller of Ciba's pharmaceutical division, last month assumed the position of general administration head of the newly merged corporation, with responsibility for melding many of the administrative operations of the two companies-including their corporate travel programs, meeting planning, fleet, mail, cafeterias and company stores.
On the Sandoz side, Monteleone, a well-known industry figure and one of the founders of the Association of Corporate Travel Executives, will be retiring.
Tomaszeski has been preparing for his role since September, when he began working with Monteleone to prepare a transition plan for the two companies. He reports directly to the CFO in East Hanover, N.J., Novartis' U.S. corporate headquarters. "With the merger, we have two of everything, and my job is to bring it all together over the next year," he said.
And he is wasting no time. Already, he has put out a bid for a supplier for Novartis' 5,000-car fleet and prepared a car rental RFP to be mailed out this month. Currently, he is "working through air, with the goal of bidding it out in 1997."
On the travel agency side, Tomaszeski has opted to consider only the corporation's two existing vendors, Ciba's travel management partner, Rosenbluth International, and Sandoz's, American Express, rather than do a full RFP. A decision on which one will retain the account will be announced by June, he said.
Like the corporate union itself, the melding of the two travel programs is "a merger of equals," Tomaszeski said. About 25 agents service the two accounts, each under the supervision of a corporate travel manager. "The plan is to have one on-site reporting to me, servicing the whole U.S. pharmaceutical operation," he said.
While his financial systems background makes him "very interested" in bringing an online booking system to Novartis, he acknowledged that automated booking technology will have to wait just a few months. "My first priority is to keep the business running before I stir up the soup with additional changes," he said. "I will be looking at technology more for 1998."
Tomaszeski has kept tabs on another industry merger, the acquisition of fleet management company PHH-one of Novartis' suppliers-by hospitality industry vendor HFS. But, he said it is "too early to tell how that merger will affect our choice of fleet vendor because it just took effect on March 15.