Leading Filipino company has the power and intelligence to succeed

FEDERICO M. FERNANDEZ President and CEO of Team Pacific

Back in 1991, the 100% Filipino-owned semiconductor-packaging subcontractor Team Pacific Corporation had a difficult decision to make. It could either remain in its safe and prosperous position as an ordinary assembly subcontractor, or make a jump to the big leagues and go for the gold.
“That year we decided to differentiate ourselves from the rest of the subcontractors,” recalls Team Pacific president and CEO Federico M. Fernandez. “We decided to go for the big power devices because not too many people in the world were doing that at the time and we were very successful. By the year 2000 power devices accounted for more that 60% of our revenue.”
Meanwhile, the market for Team Pacific’s Plastic Power, Hermetic and OptoElectronics semiconductor packages has been growing every year and has attracted several upstarts to the sector.

“We chose power devices because it was a market that nobody wanted because it is a difficult assembly to do. It is easier to differentiate when you are doing something difficult, which even the big guys like Philips or Amkor decided to get out of,” Mr. Fernandez explains.
To beat the new competition, Team Pacific has committed itself to providing unmatched customer service. Recently the company embarked on an extensive “operational excellence” program at its manufacturing plant strategically located in an industrial complex in Taguig Metro Manila.
It has also been spending more money on its large research and development department, which regularly comes up with innovative new power packages that respond to its customers’ needs, both in terms of quality and price.
Mr. Fernandez says those customers are “Delphi, formerly Delco, and we have Advanced Power Technology from Bend, Oregon. Then we also have IXYS Corporation from Santa Clara. These are our three major customers for power devices.”

Power devices regulate the flow of current, increasing and decreasing RPM. “The more intelligence you put into the device, the more work it can do. It may turn on at a time that it is most needed and turn down when the demand is low,” Mr. Fernandez explains.
“When I say big power, I’m talking about devices that can generate 5,000 volts, 150 to 300 amperes. These are the really big ones. In Europe they use these for windmills, electric locomotives, forklifts, pay loaders and power stations. Delphi uses it for the automotive industry.”