In 2003 he took over as coach of Neath RFC from Lyn Jones. Due to his success at the club he is regarded as a local hero, leading Neath RFC to four Premiership titles in successive years and three cup final wins.
In the Summer of 2009 he joined Ebbw Vale RFC as head coach. After an unsuccessful season which saw Ebbw Vale relegated, he joined new Italian rugby team Aironi, originally as a defence coach, a position he previously filled with the Ospreys and Wales. He became Head Coach on 7 November 2010 after Franco Bernini was sacked after not winning any of their games up to that point.
In July 2012 Phillips was appointed head coach of Italian club Viadana In June 2014 Phillips was appointed Director Of Rugby for Welsh club Neath RFC. But left later on to get appointed manager of London Welsh.