Financial details of the deal were not disclosed.
Under the terms of the multi-year engagement, Cognizant will provide a comprehensive range of consulting and application services globally to help Philips consolidate, rationalise and enhance its IT landscape, Cognizant said in a statement.
This will help Philips improve operational efficiency, business agility, and governance, it added.
Cognizant's engagement will enable Philips to transition to a platform and output-based managed services model across multiple business lines and corporate functions, helping Philips variablise its cost structure, drive structural savings and free up resources.
"Our relationship with Cognizant will allow us to leverage its consulting, domain, and technology capabilities for the business transformation programme," Philips Executive Vice President and Chief Information Officer Jeroen Tas said.