SEIPI AGMM Puts Spotlight on Digital Transformation for the Post-pandemic Future

Article By : Semiconductor and Electronics Industries in the Philippines Foundation Inc. (SEIPI)

SEIPI's AGMM will feature presentations and discussions highlighting the role of the electronics and semiconductor industry in the Philippines' competitiveness and growth.

With the theme “Leveraging Digital Transformation for the Post-Pandemic Future,” the Annual General Membership Meeting (AGMM) of the Semiconductor and Electronics Industries in the Philippines Foundation Inc. (SEIPI) today will feature presentations and discussions highlighting the role of the electronics and semiconductor industry in the Philippines’ growth and competitiveness.

Notable industry leaders speaking at the event include Department of Science and Technology (DOST) Secretary Fortunato Dela Peña, Department of Trade and Industry (DTI) Secretary Ramon Lopez, Morgan Stanley Chairman for Global Semiconductor Investment Banking Mark Edelstone, SEIPI Chairman Glenn Everett, and SEIPI President Dan Lachica. Melvin Jeffrey Chan, the Vice President & Head of Enterprise Innovations & IoT Business Development of PLDT Enterprise, will share PLDT’s initiatives that will help shape Industry 4.0 adoption in the country.

The total Philippine electronics exports grew by 12.9% in 2021 and reached an all-time high of $45.92 billion. This export performance is even 6% higher than the pre-pandemic exports of $43.3 billion, thereby signaling a resurgence in the industry. As of March 2022, the cumulative electronics exports reached $11.79 billion, a 9.3% increase from last year’s figures. This was 60.70% of the $19.42 billion total Philippine commodity exports, thus retaining its position as the country’s top commodity exporter.

As SEIPI strives to improve the environment for electronics investments in the Philippines during the ongoing pandemic, regulatory roadblocks are encountered, such as the change in VAT rules from the Bureau of Internal Revenue’s (BIR) Revenue Memorandum Circular (RMC) No. 24-2022, logistics delays caused by the implementation of the Commission on Elections (COMELEC) Gun Ban, and the Bureau of Customs’ (BOC) Electronic Tracking of Containerized Cargo (ETRACC) implementation, overtime charges, and X-Ray Selectivity System. Despite this, the organization continues to be the voice of the industry and to work with government partners at the Department of Trade and Industry (DTI), Anti-Red Tape Authority, Philippine Economic Zone Authority (PEZA) and the Export Development Council (EDC) to enhance the investment environment by promoting the Ease of Doing Business to enhance the country’s competitiveness.

SEIPI’s electronics industry roadmap called the Product and Technology Holistic Strategy (PATHS) includes a plan to set up an IC Design Laboratory (ICDL) at the Department of Science and Technology (DOST) facility. The ICDL project proposal has been posted in the DOST Project Management Information System (PMIS) last April 17, 2022. The ICDL will leverage on the mature and broad experience of SEIPI to attract investments and expansions to the Philippine IC design sector. The ICDL will complement DOST’s Center for Integrated Circuits and Devices Research (CIDR) ecosystem. DOST’s Advanced Science and Technology Institute (ASTI) will provide broadband connectivity, high power computing, and server capacity to link ICDL to CIDR’s mirror laboratories. It will leverage the experience of a service provider in training SEIPI’s well-defined clientele among its industry partners and affiliates.

SEIPI, together with the IC Design Technical Working Group (TWG), will choose the appropriate Electronic Design Automation (EDA) tool for the ICDL taking into consideration the specific IC applications indicated by collaborating SEIPI member-companies and universities in their Letters of Intent (LOI). The IC Design TWG is composed of S&E (semiconductor and electronics) companies and universities working together to address the IC design industry issues, including the development of the country’s talent pool and access to IC design tools.

The Parts Localization TWG continues SEIPI’s initiatives to lessen reliance on imported materials to limit dollar leakage and help the local economy grow more. SEIPI member-companies were surveyed for their high-value parts requirements that could be localized. The consolidated data were categorized into three categories: Consumables and Packing Materials, Top Imported Materials consisting of indirect materials, and Constructive Exports of ICs and passive components.

The Wire Harness TWG will tap into SEIPI’s Parts Localization and launch projects to help achieve a sustainable supply of wire harness products from the local manufacturers. Power cords and magnetic wires were recently added to the scope of the Wire Harness TWG to accommodate more local manufacturers of copper-based products.

The Industry 4.0 TWG conducted a baseline survey consisting of questions in three manufacturing dimensions namely, Shopfloor Automation, Shopfloor Connectivity, and Shopfloor Intelligence. This survey intends to assess the IR 4.0 readiness of the manufacturing members of SEIPI. The anonymized data will be used by the TWG to develop a roadmap to guide the members on Industry 4.0 implementation to be executed in partnership with the Department of Trade and Industry (DTI).

Another SEIPI PATHS initiative is the Sector Skills Council (SSC), which aims to specify the skills that our industry needs, develop, and implement a roadmap. The SSC was formed in partnership with the Philippine Business for Education (PBEd) under the A Future that Works (AFW) program funded by the Australia’s Department of Foreign Affairs and Trade (DFAT). The first two initiatives identified by the SSC will support the ICDL. The ICDL will deliver IC Layout and Verification Specialists training for technician re-skilling, and a Certification in IC Design course for engineer upskilling. The first SSC initiative is being done in collaboration with TESDA, wherein a Skills Mapping Survey is being refined to develop TESDA’s Training Requirements (TRs) to include IC layout and verification. The second SSC initiative involves the review of CHED’s PSGs (Policies, Standards, and Guidelines) in IT and related engineering degree programs. SEIPI is working with its IT and Engineering Networking Committees (NWCs) as well as IC Design and IR 4.0 TWGs to align the PSGs with global S&E technological advancements that are relevant to the talent requirements of the local industry.

SEIPI will continue organizing events for the benefit of the industry and its workforce such as the Q3 General Membership Meeting in September 2022. It will likewise resume the long-running premier event of the industry, the Philippine Semiconductor & Electronics Convention and Exhibition (PSECE) on November 16-18, 2022 at the SMX Convention Center Manila.

For more information on SEIPI’s projects and events, visit www.seipi.org.ph.

 

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