Packaging automation and material optimisation drive efficiency and sustainability

Packaging manufacturers and fulfilment operators are turning to automation, right-sized packaging and recyclable materials to improve productivity, control costs and reduce waste.

Packaging manufacturers and fulfilment operators are combining automation, artificial intelligence (AI) and material optimisation to address labour shortages, rising costs and sustainability requirements.

Automated fulfilment systems, right-sized packaging and alternative materials are helping businesses rethink how packaging is designed, produced and handled. The aim is to improve efficiency and reduce material consumption without compromising product protection.

These changes are bringing packaging design, manufacturing, distribution and regulatory compliance closer together. Material choices increasingly affect not only costs and environmental performance but also equipment compatibility, transport efficiency and recyclability.

Mono-material polyethylene (mono-PE), paper-fibre alternatives and AI-supported compliance tools are among the solutions gaining attention. Their commercial value, however, depends on their performance in real operating conditions and the availability of suitable recycling infrastructure.

Automation helps address labour and productivity challenges

Automated packaging systems can help facilities maintain consistent output while reducing reliance on labour-intensive processes.

In fulfilment centres, repetitive tasks such as carton erection, sorting, packing, sealing and labelling can be automated. Conveyors and robotic handling systems can also improve product movement between production stages.

For businesses facing recruitment difficulties or fluctuating order volumes, automation offers a way to increase capacity without relying entirely on additional staff.

The benefits extend beyond labour savings. Automated equipment can improve packing consistency, reduce handling errors and support more predictable production schedules.

Machine vision systems, for example, can inspect packaging for defects, verify labels and identify incorrectly positioned products, helping prevent errors from reaching customers.

However, automation requires careful planning. Equipment must accommodate different products, packaging formats and operating speeds. Maintenance, technical skills, energy consumption and integration with existing systems can all affect the return on investment.

For many operators, the strongest business case lies in automating repetitive tasks, difficult-to-staff processes and production bottlenecks rather than pursuing full automation immediately.

Right-sized packaging reduces material use and void fill

Reducing unnecessary packaging is a priority for fulfilment operations, particularly those handling e-commerce orders.

Conventional packing processes often rely on a limited range of standard carton sizes. When products are smaller than the selected box, operators may need to add paper, air cushions or other protective materials to fill the remaining space.

This increases material consumption and can raise transport costs through larger parcel dimensions and less efficient use of available capacity.

Right-sized packaging systems address the problem by matching package dimensions more closely to individual products or orders.

Some automated solutions measure products and produce appropriately sized corrugated boxes. Others select suitable cartons from available formats using product dimensions and packing rules.

These approaches can reduce corrugated board consumption, limit void fill and improve space utilisation during transport. They can also simplify packing operations by reducing manual carton selection.

However, smaller packages are not necessarily suitable for every application.

Fragile, heavy or irregularly shaped products may require cushioning to withstand handling, vibration and compression during distribution.

Packaging engineers must balance material reduction with product safety. Savings can disappear if inadequate protection leads to damaged goods, returns or replacement shipments.

Effective right-sizing therefore combines product dimensions, packaging performance and distribution requirements to identify the minimum material needed for reliable delivery.

AI improves packaging efficiency and compliance

Artificial intelligence can help packaging businesses analyse production, product and regulatory data to improve operational decisions.

In fulfilment facilities, AI-supported systems can optimise carton selection, product arrangement and packing sequences. By analysing product dimensions, order combinations and operational constraints, software can identify configurations that reduce unused space and material consumption.

Machine learning can also support quality inspection by identifying patterns in images or production data that may indicate packaging defects.

Beyond production, AI has applications in regulatory compliance.

Packaging businesses supplying international markets must manage requirements covering material composition, labelling, recycled content, product safety and waste management. These obligations vary between jurisdictions and change as legislation evolves.

AI-supported compliance tools can organise technical documentation, compare packaging specifications with regulatory requirements and flag information requiring further review.

A manufacturer supplying several markets, for example, may need records covering the materials used in each packaging format, its weight, recycled content and supporting test results.

Digital systems can consolidate these records and make information gaps easier to identify.

However, AI cannot replace regulatory expertise. Automated assessments depend on accurate data and reliable, up-to-date rules. Incorrect material information or outdated regulatory references can produce misleading results.

Human review remains essential, particularly for food-contact safety, chemical restrictions and legal declarations.

The main opportunity is to improve the speed and consistency of compliance processes while retaining clear accountability for final decisions.

Mono-material packaging supports recyclability goals

Material optimisation is becoming an important part of packaging investment decisions as businesses seek structures that combine product protection with improved recyclability.

Many conventional flexible packaging formats combine different materials to provide strength, heat resistance and protection against moisture, oxygen or light.

Although these multilayer structures can perform well during storage and distribution, separating their components for recycling can be difficult.

Mono-material packaging offers an alternative by using one main material family, potentially improving compatibility with a particular recycling stream.

Mono-PE packaging, for example, uses polyethylene-based layers rather than combining polyethylene with unrelated materials such as polyester or aluminium.

This can simplify recycling where suitable collection, sorting and processing infrastructure exists.

However, mono-material packaging is not automatically recyclable in every market.

Coatings, adhesives, inks and barrier layers can affect recycling compatibility. Local collection arrangements and processing capabilities are equally important.

Manufacturers must also ensure that alternative structures meet the performance requirements of the packaged product.

Food packaging, for instance, may need effective barriers against oxygen, moisture or light to maintain quality and shelf life.

Moving from conventional multilayer structures to mono-PE can require changes to film design, sealing conditions and production equipment.

Successful transitions therefore depend on testing material performance throughout manufacturing, distribution, use and end-of-life management.

Paper-fibre alternatives offer benefits and trade-offs

Paper-based packaging offers another route to material optimisation, particularly for businesses seeking alternatives to certain plastic formats.

Corrugated board, moulded fibre, paper mailers and paper cushioning materials can replace some conventional packaging components.

These materials may offer advantages in markets with established paper collection and recycling systems. In e-commerce fulfilment, paper-based mailers and protective inserts can also reduce reliance on mixed-material packaging.

However, replacing plastic with paper does not automatically reduce environmental impacts.

Paper-based materials may require greater weight or thickness to provide equivalent strength and protection. Some applications also need coatings or treatments to resist moisture, grease or oxygen, potentially affecting recyclability.

Environmental performance depends on fibre sourcing, manufacturing processes, transport and end-of-life management.

Packaging buyers should therefore assess alternatives according to their intended applications, comparing product protection, material consumption, recycling compatibility and lifecycle impacts rather than assuming one material is always more sustainable.

Packaging regulations strengthen the case for material efficiency

Regulatory changes are increasing pressure on packaging businesses to reduce unnecessary material use and improve recyclability.

The European Union’s Packaging and Packaging Waste Regulation (PPWR), Regulation (EU) 2025/40, began applying on 12 August 2026, with further requirements taking effect in phases.

The regulation covers packaging minimisation, recyclability, recycled content and waste management. It also introduces measures to reduce excessive empty space in packaging.

Under Article 24, operators filling grouped, transport and e-commerce packaging will be required to limit empty space to a maximum of 50%, subject to specified exemptions.

The requirement will apply from 1 January 2030 or three years after the relevant implementing acts enter into force, whichever is later.

The European Commission is required to establish the calculation methodology by 12 February 2028, taking account of product protection and operational requirements.

Materials used to fill empty space, including paper fillers, air cushions and bubble wrap, will count as empty space under the calculation.

A separate provision requires operators filling sales packaging to minimise unnecessary empty space by 12 February 2028.

EUR-Lex

These measures strengthen the case for right-sized packaging and automated packing systems that reduce excess space while maintaining product protection.

The PPWR also introduces phased recyclability requirements, including design-for-recycling criteria and assessments of whether packaging can be recycled at scale.

Its implications extend beyond Europe. International manufacturers and brand owners supplying the EU market must assess the requirements applicable to their packaging, regardless of where it is produced.

Consistent material records, adaptable specifications and reliable compliance processes can help businesses respond to these obligations.

Digital integration connects packaging design and production

Automation and material optimisation can deliver greater value when packaging data is shared effectively between design, procurement, manufacturing and fulfilment systems.

These activities are often managed separately. Designers develop specifications, procurement teams select materials and production facilities operate equipment according to established settings.

When information is fragmented, changes to packaging dimensions or material properties can create problems elsewhere in the supply chain.

Integrated digital systems can help manage these dependencies.

Product dimensions and material specifications can inform automated carton selection. Production data can reveal excessive material consumption, while inspection results can identify packaging formats associated with higher defect rates.

Digital records can also improve traceability by linking packaging components to suppliers, technical specifications and compliance documentation.

For businesses managing large packaging portfolios, this information is valuable when assessing material substitutions or responding to regulatory changes.

The challenge is ensuring that different systems exchange accurate, consistent information. Without reliable data and clearly defined processes, even advanced automation may deliver limited improvements.

Measuring the return on packaging investment

Packaging manufacturers and fulfilment operators need to assess automation and material optimisation as connected investments.

The purchase price of automated equipment represents only part of the total cost. Installation, maintenance, software integration, employee training, energy consumption and future upgrades must also be considered.

Potential benefits extend beyond direct labour savings.

Right-sized packaging can reduce material purchases and parcel volumes. Improved inspection can limit packing errors, while consistent production processes can reduce waste and rework.

Businesses can measure performance through packaging material consumed per order, packing throughput, labour hours per shipment, product damage rates and total packaging cost per delivered unit.

Environmental measures, including packaging waste, recycled content, energy consumption and greenhouse gas emissions, can provide a broader picture of performance.

Lifecycle assessment can help compare packaging formats by examining environmental impacts across raw material production, manufacturing, transport and end-of-life management.

This matters because lighter packaging does not always produce a better environmental outcome. A lightweight material may be difficult to recycle, while an alternative with better recycling compatibility may require more resources to manufacture or transport.

The strongest investment decisions therefore consider productivity, financial returns, product protection and environmental performance together.

Recycling infrastructure remains a challenge

Material innovation alone cannot resolve the packaging industry’s waste challenges.

According to the Organisation for Economic Co-operation and Development (OECD), global plastic waste reached 353 million tonnes in 2019, with packaging accounting for around 40% of the total.

The OECD also estimated that only 9% of global plastic waste was ultimately recycled that year.

OECD

Although these figures relate to 2019, they illustrate the scale of the challenge facing plastic waste collection and recycling systems.

Packaging may be technically suitable for recycling but still end up in landfill or incineration if the necessary collection, sorting and processing infrastructure is unavailable.

This is particularly relevant for flexible plastics, which can be difficult to recover through conventional recycling systems.

Manufacturers must therefore consider the markets in which their packaging will be sold and disposed of.

Collaboration between packaging producers, material suppliers, waste management companies, recyclers and brand owners can help develop formats compatible with available recovery systems.

Such partnerships can also improve understanding of the quality and availability of recycled materials for use in new packaging.

Integrated strategies will shape packaging efficiency

Packaging automation and material optimisation are becoming closely linked parts of efforts to improve productivity, control costs and reduce environmental impacts.

Automated fulfilment can improve packing consistency and operational efficiency, while right-sized packaging can reduce unnecessary material consumption and void fill.

AI-supported systems can strengthen quality control and compliance management. Mono-material structures and paper-fibre alternatives offer further opportunities to improve resource efficiency and recyclability.

However, no single technology or material provides a universal solution.

Performance depends on product requirements, operating conditions, regulatory obligations and the infrastructure available to recover packaging after use.

For packaging manufacturers, converters, brand owners and fulfilment operators, the priority is to align automation, material selection and sustainability objectives.

Businesses that reduce waste while maintaining product protection, operational efficiency and regulatory compliance will be better positioned to manage costs and adapt to changing market requirements.