While digitalization is impacting every form of industry today the one industry that is being impacted more than almost any other is the paper industry. LNS Research recently published an eBook detailing survey results from talking with more than 180 paper and packaging companies about their business goals, technology efforts and plans for the future. Read a summary below and download the ebook to get some really interesting insights on what these companies are thinking.
Here is just one interesting fact about the industry's wanting to increase production capacity
Asset Management is critical to paper and packaging companies. LNS asked paper and packaging companies what their main objectives are for Asset Performance Management
48% of paper companies said better operational performance was their top objective which is no surprise.
31% of paper companies said increasing production capacity was also a top objective while only 11% of all manufacturing industry companies surveyed said that increasing capacity was a priority.
The move to the “paperless” business provides not only opportunities for Digital Transformation but it provides an impetus for the paper industry to make the shift sooner than other industries or risk being left behind. It requires forethought, planning, focus on Operational Excellence and an understanding of how People, Process, and Technology combine to create new business models and opportunities and create an environment where the next generation of workers will not just be capable, but actually enthused about coming to work.
The paper and packaging industry is in the midst of changes on multiple fronts.
While there has always been specialized and more profitable niches in the industry, much of the paper and the packaging industry have behaved as commodity product producers.
An emphasis on recycling, not only of paper but other materials used in packaging as well.
Although energy costs today are lower than they were a few years ago, greenhouse gas concerns and carbon footprint reduction as well as reduction in the use of chemicals like chlorine for bleaching, have also put pressure on the industry.
When you couple these challenges with the overall economic pressures and slowing global growth the paper industry must do something differently if it is to avoid becoming the next sunset industry. Technologies like Mobility, Cloud, the Industrial Internet of Things (IIoT) and Big Data & Analytics have driven the demand for paper down, but they have provided the tools the industry needs to transform itself into a more customer focused and responsive model. The growth of online commerce, mass customization and the development of new materials and production methods like 3D printing (additive manufacturing) all are creating tremendous opportunities in the packaging side of the industry.
Envisioning, creating and managing Digital Transformation in any industry can prove challenging but it is an effort the paper and packaging sector needs to undertake. Having a framework to guide the effort is essential. There are steps, if followed correctly, that enable the industry to:
Identify the business case for change with clear goals for transformation
Create a culture that is adaptable and flexible
Focus on continuousimprovement leading to operational excellence
Building partnerships with suppliers that results in an architecture that supports the business goals
This eBook will provide readers in the paper or packaging industry with a template to help guide them along the path to Digital Transformation. Specifically, you will gain a perspective on:
What is driving the paper and packaging industries today?
What is Digital Transformation in the paper and packaging industry?
How should a paper or packaging company set its strategic objectives as they relate to Digital Transformation?