Mining company Anglo American has awarded a multi-year application development and management services contract to Accenture, in an effort to cut costs.

Anglo American hopes to improve the reliability of its services and reduce costs by upgrading its applications and reducing the number of third-party application suppliers.

Under the contract, Accenture will manage Anglo American's global portfolio of commercial applications across all its group functions and precious metals commodities business.

As well as providing application maintenance and support, Accenture will provide IT consulting and development services to design, build and test applications.

Anglo American has previously worked with Accenture to transform its procurement function, with the development of centralised procurement IT system that integrated all of the mining company's existing ERP systems (including SAP systems).

Meanwhile, last year, it reported that it had removed £1.5 billion worth of costs after activities such as the overhaul of its supply chain, asset management and knowledge management, and the introduction of shared services.