JP Morgan Chase is overhauling business processes, improving product development and slashing the costs of trading, as part of a major IT initiative.

The news comes as the banking giant said it was implementing global trading and asset servicing platforms, and investing heavily in fast-growing areas such as mobile payments.

JP Morgan Chase, where nearly a third of its 25,000 staff work in IT, has told investors that it is working fast to slash trading errors and redevelop key platforms. The company is reported to have a $2 billion (£1.3 billion) annual budget for technology.

Jes Staley, head of its investment bank, said the bank was "over" half way through a "strategic re-engineering" of its technology. It was also making use of its scale, and establishing cross-asset platforms for financial trading, as it cut errors and costs per trade.

Meanwhile, the bank's treasury and securities operations are taking assertive steps to overhaul technology.

Extensive redevelopment of key platforms has included the elimination of many legacy systems, an increase in automation, and better virtualisation and capacity on demand, according to Mike Cavanagh, head of that division.

Cavanagh said that technology was enabling the bank to "optimise the location strategy" of staff, with an increase of the percentage working in low cost sites from 26 to 40 percent. The use of Agile development methodology was also enabling faster application deployment and better functionality, he said.

The treasury and securities unit has also reengineered payments processing, workflow automation and accounting processes, he said. As its next steps, it plans to implement a global trade and asset servicing platforms, and "next generation" cash management.

Menawhile, JP Morgan Chase said it had consolidated three servicing platforms into one, and reengineered servicing processes.

The consumer banking unit said it was making progress on its "One Chase" initiative, giving it a "360 degree" view of its customers within its CRM system, and enabling a more consistent customer experience. The company said that "not all banks have the capacity to invest" in such a programme scale combining people, systems and processes.

For its branches, JP Morgan Chase is developing a more flexible architecture to allow it to implement more all-round self-service terminals for customers to manage their accounts, make payments and withdraw cash.

The company also touted its online and mobile capabilities. Its website is the most visited banking site on the web for cardholders, it said, with customers spending some $85 billion there last year. The bank also has 15 million registered mobile users, who sent $33 billion last year via their phones. The company is investing heavily in mobile payments, mobile wallets and near field communications technology.

"We are deeply engaged in digital channels and we are seeing rapid adoption of our capabilities," said Gordon Smith, head of its credit and debit cards business. "Digital channels are an important [accelerator] of our business model – engagement, efficiency, and customer acquisition."