Coleman returned to the Rabbitohs as a reserve-grade coach and took over from
Steve Martin as first-grade coach in round 19 of the
1998 season. In 2000, the Rabbitohs were excluded from the
National Rugby League competition. Coleman, while working as a baggage handler for
Ansett, joined the fight to have the club included in the competition. On the club's return in the
2002 season, Coleman was once again head coach but after a poor season the South Sydney board considered his position in late September. A split decision opted to retain Coleman as coach but revised the coaching staff, appointing
Phil Blake (former Souths utility player) as the club's new coaching coordinator with
Paul Langmack appointed as defensive coach. Five months later and only eleven days before the official start of the 2003 season, Coleman was sacked by the club after a series of losses in the pre-season trials. Under his coaching, the Rabbitohs won 17 of 54 games (31%) over three playing seasons. 1999 was the most successful of Coleman's coaching seasons in NRL, with the Rabbitohs narrowly missing the semi-finals. ==Controversies==