PRECISION engineering firm Techcom Technology is just one of the small firms that a new $6 million training programme set up by Spring Singapore is helping.

The Semiconductor Capability Development Programme aims to give a leg-up to small and medium-sized enterprises (SMEs) that provide services and support to the semiconductor industry, such as Techcom.

The firm supplies global semiconductor contract manufacturer VDL Enabling Technologies Group (VDL-ETG), the first multinational to liaise with Spring in training smaller companies.

'The course we have attended has provided us with a deeper knowledge of secondary processes, which we usually outsource,' Techcom director Mark Khoo said.

The programme aims to encourage local SMEs supporting the semiconductor industry to improve and develop new products, processes and services.

It is expected to generate about $120 million in value-add to the industry over the next three years from at least 25 projects.

Spring chairman Philip Yeo unveiled the programme yesterday.

'With the rapid pace of technology of this industry cluster and the trend towards outsourcing, there are ample opportunities for SMEs to tap and grow,' Mr Yeo said.

VDL-ETG's role in helping smaller firms will cover over 18 months, as it imparts industry know-how and expertise to 12 of its SME suppliers, including Techcom. Spring will bear the training costs.

A total of 45 engineers and managers from the semiconductor firm's 12 SME suppliers will undergo training in process and quality control concepts, which will help them expand production to include higher value-added processes.

'This project...will improve the operational performance of VDL-ETG and our suppliers in the areas of quality, reliability and lean manufacturing,' said Mr Henk Jan Jonge Poerink, general manager of VDL-ETG Singapore.

'It will help to ensure that VDL-ETG and our suppliers are better-equipped for future growth and new demands in the semiconductor industry.'

Interested industry SMEs can contact Spring at 6898-1800 or e-mail enterpriseone@spring.gov.sg.

This article was first published in The Straits Times on April 29, 2008.