As we’re poised to enter a new year, so the world of industrial automation in manufacturing is entering a new chapter.

New automation trends and technological advancements are reshaping the way businesses operate, with Artificial Intelligence (AI) and automation at the forefront of the transformation. In this blog, we’ll explore what the increasing use of AI means for manufacturers and how it can help them stay agile and efficient in a competitive market, as well as look at which other trends we can expect to see in 2025.

Artificial Intelligence (AI)

By far the most significant development expected is the continued adoption of AI and machine learning in a manufacturing setting. As we’ve seen in other industries, AI enables systems to analyse, learn and even make decisions autonomously, driving greater efficiency and quality control in a number of ways:

• Data-driven decision-making and machine learning

By analysing data from multiple sources, AI systems can identify inefficiencies and patterns and optimise production processes. Real-time data can be used to make small adjustments to improve efficiency and productivity, while long-term data trends guide strategic planning, enhancing areas such as supply chain management and demand forecasting.

• Predictive maintenance

The data can also be used to monitor equipment condition and detect the signs of wear or failure and the need for maintenance. This means manufacturers can schedule repairs proactively, reducing costly downtime and improving reliability, productivity and equipment life.

• Adaptive controls

AI-powered machines monitor their surroundings in real-time, adjusting to environmental changes, material variations or unexpected disruptions without compromising quality. This dynamic responsiveness ensures consistent output, even under rapidly changing demands.

Intelligent automation and hyperautomation

We’ve got used to introducing Robotic Process Automation (RPA) into manufacturing operations, which is the automation of repetitive rule-based tasks, such as sack-filling or palletising. However, it’s unable to manage more complex tasks, and this is where we expect to see a rise in the use of intelligent automation. Intelligent automation integrates AI, RPA and machine learning, allowing businesses to introduce more diverse, complicated processes and automate interconnected tasks. This more holistic approach generates new levels of productivity and flexibility in readiness for future growth.

Energy efficiency and sustainable innovation

Sustainability is becoming a core driver of innovation in manufacturing processes and stricter carbon reduction targets are likely to bring increased pressure to reduce environmental impact. Equipment such as Europack’s Winner Green range of palletisers already uses the Kinetic Energy Recovery System (KERS) to reduce energy consumption by up to 70%, and we’re predicting further advances in technology that will reduce both environmental impact and operational costs. Manufacturers will also focus on how automation can improve resource efficiency and waste reduction (such as excess packaging) throughout production processes.

Co-creation and collaboration

Co-creation and collaboration with partners, customers and industry experts will be key drivers of innovation in industrial automation, especially as technology continues to develop and change apace. Involving specialists with particular insights and expertise allows for the creation of bespoke equipment and the implementation of new processes, which are in tune with the latest market developments and customer demands.

Industrial automation is changing. Automation has always been a driver of efficiency and growth but these trends are shaping a new future of manufacturing – a future which involves intelligent, hyper-automated systems that give manufacturers more opportunities to boost productivity and gain a competitive advantage.

The number of robots installed in the UK increased by more than half (51%) in 2023 and annual installations globally exceeded half a million units for the third consecutive year, according to figures from the latest International Federation of Robotics (IFR) World Robotics Report.

There are now 4.2 million robots operating in factories worldwide, which marks a 10% year-on-year increase in the amount of operational stock and the highest number in use to date. The data shows businesses in all corners of the globe are continuing to embrace automation to enhance productivity and efficiency.

Driven by the automotive industry

The UK’s record high saw the highest year-on-year growth in Europe with 3,830 units installed. A huge 50% of this growth was driven by the automotive industry, where installations almost tripled (197%) to 1,924 units due to the completion of a number of major EV (electric vehicle) projects. Other industries also saw significant growth: food and beverage installations increased by 59% to 555 units and demand from the metal industry was up a fifth (20%), with 324 units installed.

It’s likely the surge was accelerated by the government’s ‘super deduction’ tax break, which was introduced to encourage companies to invest in plant and machinery, and which closed at the end of March 2023.

However, despite the increases, the UK still lags behind other European countries. Operational stock stands at 28,831 units, an increase of 9% but still about half as much as France which has 58,572 industrial robots, a third of Italy’s 96,803 units and just over 10% of Germany’s 269,427 stock.

A global comparison

Elsewhere in the world, Asia continues to dominate with 70% of global robot installations. China alone accounted for more than half (51%) of all new robots deployed in 2023, just slightly down from 2022. Despite the dip, it remains the world’s largest market for industrial robots with nearly 1.8 million units in operation. Japan, the second-largest global market, also saw installations fall slightly this year after two strong years.

The emerging player in the region is India, which recorded a remarkable 59% growth. Like in the UK, this was driven primarily by the automotive industry which saw demand soar by 139%.

In the Americas, installations exceeded 50,000 units for the third year in a row, and the United States remained the largest market (68%) despite a 5% decline in installations. Canada saw a strong 37% increase, while Mexico experienced a slight drop, all attributed to fluctuating demand from the automotive industry.

Looking ahead

As we look ahead, investment in automation globally shows no sign of abating. The IFR is forecasting steady demand for robots throughout 2024, as manufacturers look to remain competitive on a global scale. Moving into 2025 and beyond, it’s expected we’ll see take-up accelerate even further, driven by advances in technology and increased demand for robotic solutions.

In the UK specifically, the picture looks slightly different: with the expiration of the super deduction in 2023, the country is expected to see a sharp decline in installations in 2024. However, with automation playing a growing part in UK manufacturing, this is likely to be a temporary dip and we should see a gradual recovery and renewed growth in 2025 – vital if UK companies are to compete on an international stage.

On July 4 2024, the Labour Party won a decisive victory in the UK general election, ushering in a new era of government and a host of ambitious proposals covering issues from environmental sustainability to innovation and investment. But what does this mean for the packaging industry?

In this blog, we’ll look at some of the party’s policies and explore their potential impact on the sector.

The Labour Party’s priorities

The Labour Party’s manifesto focused on growth and change, with delivering economic stability the first step. But whilst kickstarting the economy is a clear priority, Labour has also committed to addressing long-standing environmental issues by introducing regulatory measures and new initiatives. Together, these aim to encourage the adoption of greener practices and materials and support the transition to a low-carbon economy.

For businesses looking to invest in new technologies and infrastructure, Labour’s focus on economic stability and growth is likely to be a positive. Already the new government has pledged to retain a permanent full expensing system for capital investments, allowing companies to deduct the entire cost of capital expenses and encouraging reinvestment and modernisation. And they’ve promised greater clarity on what qualifies for allowances to improve business investment decisions.

Labour’s environmental commitments

To create a more sustainable manufacturing sector and help the country meet its environmental targets, Labour has proposed a number of changes that could impact the packaging industry:

1. Packaging regulations
   Stringent regulations would aim to reduce plastic waste and encourage the use of recyclable and biodegradable materials. This would include Extended Producer Responsibility (EPR) schemes to make manufacturers responsible for the cost of recycling and disposing of packaging waste and encourage companies to design packaging that’s easier to recycle and reuse.
   VFFS sack-filling machines create each bag or sack to precise measurements as required, reducing unnecessary waste.

2. Ban on single-use plastics
   A ban on single-use plastic items would be similar to the EU directives in place, giving manufacturers little choice but to rapidly transition to biodegradable, compostable or reusable materials, or face financial penalties.

3. Recycling and waste management improvements
   By investing in recycling facilities and technologies, Labour wants to improve the country’s capacity to process recyclable materials effectively and support the circular economy. For manufacturers, ensuring there is a robust infrastructure in place to handle recyclable packaging makes its adoption more appealing.

4. Carbon reduction targets
   Stricter carbon reduction targets would require manufacturers to adopt more energy-efficient processes and reduce emissions. This might mean using renewable energy sources, investing in carbon capture or storage facilities, or upgrading to more energy-efficient machinery such as Europack’s Kinetic Energy Recovery System (KERS).

   This cutting-edge technology features on the Winner Green range of palletisers and transforms energy that would usually be wasted or dissipated as heat into reusable power. Using regenerative braking technology (similar to that used on hybrid cars), it reduces overall energy consumption by up to 70%, compared to conventional robots.

The long-term advantage

Whilst these policies might incur initial costs and require adjustments, there are likely to be benefits in the long term, with opportunities for innovation and for businesses to get ahead of the curve. Whichever party is in government, sustainability and environmental pressures are here to stay, meaning those that invest in more environmentally friendly packaging solutions now are more likely to reap the advantages in the future.

To find out more about our packaging solutions, contact us.

Rapid developments in robotics are leading a transformation. Manufacturers are adopting robotics faster than ever: globally, the average robot density has more than doubled in the last six years and in the packaging industry specifically, global sales of robotic packaging machines are estimated to reach US$ 1,888 million by 2033.

This rate of evolution is due largely to innovations such as AI, machine learning and collaborative robots, which are driving productivity whilst reducing costs. Here, we look further at these and other trends shaping the future of robotics, and explore their impact on the packaging industry.

1. AI and machine learning

Artificial intelligence (AI) and machine learning (ML) can be incorporated into almost every aspect of the packaging process, making operations smarter and more efficient. AI-driven systems monitor and control quality to ensure consistent packaging standards and deliver real time tracking and automated restocking to streamline supply chain operations.

ML allows robots to learn from experience, adapt to new situations, and make autonomous decisions, such as analysing big data sets to enable predictive maintenance. The result is advanced robots capable of performing complex tasks like pick-and-place, palletising and quality control with enhanced intelligence and responsiveness.

2. Sustainability

The growing focus on sustainability is driving a rise in machinery that can help to minimise waste, optimise material use and enhance efficiency, both in terms of packaging materials and energy usage. Robots can create lighter, more compact packaging designs that reduce transportation-related carbon footprints, and smart packaging technologies monitor the temperature of perishable products, minimising spoilage and waste. AI, as mentioned above, has a role to play here too, analysing a product’s size, weight and fragility to determine the optimal packaging design and reduce excess.

The latest robots are also more energy-efficient, lowering the overall energy footprint of packaging operations.

3. Specialised robots

Targeted implementation of robotics means that in the future, automation will be accessible to small and medium-sized operations as well as those with big budgets. Rather than replacing whole production lines specific changes are made, introducing machinery to relieve particular bottlenecks or critical points. These may include adding a robotic arm to increase the speed of pick-and-place operations, investing in palletisers to make packing for deliveries more efficient, or implementing sensors to help with quality control.

We are also seeing the introduction of more specialised robots, tailored for specific tasks such as case packing or labelling. These are often close-coupled with other equipment (meaning conveyors are removed), allowing for more functions within the same footprint.

4. Cobots

Collaborative robots (cobots) continue to be a major trend, especially in the packaging industry, with the range of applications expanding and take up by manufacturers increasing as a result. Already widely used to improve worker safety and productivity in jobs such as heavy lifting, repetitive tasks and work in hazardous environments, new technologies like mobile manipulators, which combine collaborative robot arms with autonomous mobile robots (AMRs), are broadening the uses further.

These portable solutions can lift and hold heavy loads whilst making complex manoeuvres, making them ideal for tasks such as product picking, sorting and packaging.

5. Interconnected systems

Incorporating technologies like 5G, cloud computing and the Internet of Things (IoT) is leading to more capable and interconnected robotic systems. Swift, seamless communication between the different elements of the packaging process, such as robots, sensors and software platforms, enables real-time data exchange. This allows for real-time monitoring and adjustments to changing demands or product specifications and improved decision-making ability, ensuring consistent quality and efficiency and making packaging processes more responsive and agile.

The demand for greater efficiency and a more flexible, responsive and sustainable manufacturing environment is driving change throughout the packaging industry. From greater use of AI to investing in specialised equipment, embracing these trends and innovations is key to success.

The first automation in manufacturing was recorded in 1771 with the invention of a fully automated spinning mill and its integration into industrial processes has been gathering pace ever since. Today, automation plays a crucial part in many manufacturing operations – and signs are that in 2024, it’s set to become more important than ever.

With automation becoming more accessible and delivering clear economic and efficiency benefits, it’s not surprising the global figures show demand for robotics continues to increase. It’s predicted that 600,000 units will be installed around the world this year and in this blog, we look at the trends we can expect to see.

1. Automation will become essential to remain competitive

We already know that automation can improve productivity, reduce waste and boost efficiency and now a report from North America shows that in 2022, businesses choosing to automate saw a 30% higher average growth rate than those relying on manual processes. It all points to automation as a solution to the challenging economic conditions and a necessary investment for manufacturers who want to stay ahead of the competition.

2. Reducing installation and lead times will become a priority

With more companies of all sizes looking to invest in automation, the key differentiator will be who can get there fastest. Those who can quickly adapt their production lines to include robotic equipment will see a significant advantage and therefore suppliers who can react quickly and reduce the time from design to operation will be in demand.

3. AI will take centre stage

AI has transformative potential for manufacturing businesses and we’re expecting to see it used more and more as technology – and public perception – improves. The rapid and in-depth data analysis that AI is capable of helps to give manufacturers a better understanding of their ongoing activities, from predicting customer demand to identifying efficiency improvements, whilst machine learning enables robots to learn and improve from experience and can greatly improve quality and speed of operation. It also paves the way for predictive maintenance, reducing downtime and boosting productivity.

4. Automation will become even more accessible

As technological developments result in more compact and cost-effective machines the practice of designing and implementing plug-and-play or modular systems is growing in popularity, especially amongst smaller businesses. Manufacturers with fewer than 200 employees have previously been hindered by the complexity and cost of automation technologies, but the DIY approach allows them to implement flexible, customised solutions.

5. Advanced vision systems will enhance robotic capabilities

Vision systems use cameras, sensors and software to inspect or analyse parts and products on a production line and their integration into robotic technology was one of the biggest industrial automation trends in 2023. This year, we expect the momentum to continue and go a step further with the emergence of 4D vision, which incorporates AI to enable faster image processing. This significantly increases the speed at which checks can be carried out.

The time to embrace automation is now

New technology is making automation more accessible than ever and, as a result, it’s becoming more than just a tool for operational efficiency but a necessary partner for manufacturers looking to boost their resilience, grow their business and make a positive impact on both their bottom line and manufacturing processes in general.

A staggering 553,052 industrial robots were installed globally in 2022, demonstrating that the demand for robotics and automation shows no sign of abating.

According to figures from the latest International Federation of Robotics (IFR) World Robotics Report, the numbers are not only an increase of 5% on the previous year but beat the world record of 500,000 units for the second year in a row.

However, figures from the UK don’t make for such positive reading, with the country continuing to lag behind competitors in Europe and further afield.

Robots worldwide

All regions and major markets saw some growth but it was generally lower than last year, when manufacturing reignited following the COVID shutdowns.

Perhaps unsurprisingly, almost three-quarters (73%) of all newly deployed robots were installed in Asia – significantly more than in any other region – although a slight drop year on year. China remains the world’s largest market; every other robot installed worldwide ended up in China in 2022 and installations were up 5%. The Far East is a driving force when it comes to robotics, on average, annual robot installations in China have increased by 13% each year since 2017, largely due to the electrical and electronics industries.

In the Americas, installations were up by 8%, buoyed by the likes of Mexico which saw 13% growth. Other markets in the territory saw a decline however, with demand in Canada dropping by almost a quarter (24%), as a result of lower demand from the automotive industry.

Closer to home in Europe, Germany continues to dominate with 36% of the market share, although installations were slightly down to 25,636 units. Nevertheless, this is still more than ten times the number of sales in the UK.

The UK robotics market

While Germany takes its place as one of the top five adopters worldwide, the UK continues to fall behind. Figures this year are an improvement on last: while in 2021 installations dropped by 7%, 2022 has seen an increase of 3% to 2,534 units. But, is it enough?

With almost three-quarters (73%) of global robot installations taking place in just five countries, the gap between those that adopt automation and those that don’t is widening year on year, impacting productivity and profitability.

And that’s something the UK can ill afford. With productivity already low, the country’s manufacturers need to be doing all they can to boost their output – and investing in further automation is a good place to start.

The demand for automation

Despite the predicted slowdown of global economic growth in 2023, robot installations are expected to continue to rise (reaching 600,000 units in 2024), with electronics driving the growth.

28% of all robots installed in 2022 were in the electronics industry, with the automotive industry close behind with 25%. Interestingly, the food and beverage industry saw an increase of 3% and this could represent an opportunity for UK manufacturing in particular. A huge market in the UK, it has massive growth potential and could kickstart the automation uptake that’s needed to help the country’s manufacturers compete on the international stage.

When we talk about automation in manufacturing, we usually mean the introduction of robotics or other machinery in order to speed up manual processes. However, this isn’t the only way that automation can be introduced into a manufacturing operation. Robotic Process Automation (RPA) is growing in popularity amongst manufacturers as they seek to ensure their back office functions run as smoothly as the rest of their business.

What is Robotic Process Automation?

A type of automation that’s emerged relatively recently, RPA systems use software robots, often referred to as bots, to automate and perform repetitive, rule-based and data-intensive business processing tasks previously done by humans.

They are particularly suited to tasks related to data management, documentation and communication, making them useful in departments such as HR, finance and customer support.

The bots are designed to mimic human interaction and choices and can manipulate data, trigger responses and perform a wide range of tasks across many applications and systems, just like a human user would.

How does RPA compare to traditional automation?

In contrast, traditional automation handles the physical tasks on the production line, automating processes with the use of machines, control systems and mechanical equipment.

It’s this type of automation that manufacturers are typically more familiar with – palletisers and depalletisers to load and unload pallets, conveyors to move items through the operation and sack-filling machines to ensure precise volumes every time.

Both types of automation can be extremely valuable in a manufacturing environment, each helping to improve efficiency, quality and productivity in a different way. Therefore, by combining the two, manufacturers can streamline their operations and enhance their overall competitiveness.

Incorporating RPA in your operations

In a business, organisation in the back office is as important as efficiency on the production line. Accurate inventories, timely invoicing, liaison with suppliers and effective customer service are all vital when it comes to ensuring that things run smoothly.

RPA can help in a number of ways:

• Data entry and processing: Manufacturing involves handling a vast amount of data related to production, orders and quality control. RPA can automate data entry by extracting data from spreadsheets, emails and other sources and entering it into relevant systems faster and more accurately than a human operator.
• Inventory management: RPA helps manage inventory by monitoring and automatically updating stock levels, generating reorder alerts, and tracking the movement of materials and products between departments.
• Order processing: RPA can automate tasks such as order entry, confirmation and invoicing but also go one step further, checking product availability against the inventory and updating customers on order status.
• Compliance and reporting: By automating the collection and reporting of required data, RPA helps to ensure compliance with industry regulations and standards and provides a paper trail should it be needed.
• HR processes: RPA can be used for automating HR processes like employee onboarding, payroll processing and benefits administration, improving HR efficiency and reducing delays.
• Customer support: By using RPA bots to handle routine inquiries, such as tracking order status or providing product information, human agents are freed up to focus on responding to more complex customer issues.

Used correctly, RPA can also make a difference on the manufacturing floor, introducing timesaving processes to help manage:

• Preventative maintenance: RPA can monitor the condition of equipment, schedule routine maintenance and generate reports, reducing unplanned downtime.
• Quality control: RPA bots remove the need to have an individual on quality control. They can perform repetitive inspection tasks such as checking measurements, flagging any issues for human review.
• Production planning and scheduling: By analysing demand, machine availability and other factors, RPA can identify the most efficient production plans and automatically adjust schedules in response to changes.

Combining RPA and traditional automation

The advantages of investing in traditional automation are well-documented. Ranging from increased efficiency and cost savings to improved product quality and safety, choosing the right automation can bring real and tangible benefits.

Combining traditional automation with RPA allows those benefits to be felt across the business, further improving efficiency and giving a clear competitive advantage.

For more advice on introducing automation into your business, get in touch.

We’ve seen the use of robots grow significantly over recent years, as automation has made its way into almost every aspect of modern life. From AI-driven chatbots to automated vehicles, new technologies are evolving fast.

So, as we head into 2023, we look at industry predictions from the world of robotics and consider what these may mean for businesses and manufacturing.

1. Continued growth

The recent IFR World Robotics Report showed that industrial robot installations reached an all-time high in 2021, increasing by 31% over the previous year. And although 2022 saw the start of a global slowdown, all signs are that installations will continue to grow, as businesses recognise how investing in automation can help them face some of their biggest challenges in recent years.

Indeed, the expectation is that organisations in more and more sectors will begin to see how robotics can help them overcome issues such as labour and skills shortages, productivity slumps and rising costs, and embrace automation as a result.

2. Greater interactivity

A specific area of growth for 2023 is predicted to be social robots, machines that are designed to interact with humans and operate in human environments. Driven especially by the health, education and retail sectors, these ‘humanoids’ are increasingly capable of mimicking human behaviour, something that will only continue to improve as the technology advances.

In a similar vein is the move towards cobot installation. Designed to work alongside humans, these perform a similar range of activities to traditional industrial robots, but are smaller and lighter and, as such, pose less risk to safety. Palletisers and sack filling machines are good examples. Their flexibility and versatility means they are a cost-effective option for manufacturing businesses considering automation – a key consideration for 2023 and undoubtedly a contributing factor in their predicted growth.

3. Turnkey solutions

Expect to see more turnkey solutions on offer as manufacturers combine existing technologies to create brand new applications and products. These complete, out-of-the-box solutions will drive innovation forward and make it easier for customers to integrate crucial technologies into their operations. With no limit to the ways in which technologies can be combined, many say it means automation is set to become more sophisticated yet more straightforward to use than ever.

4. Customer-focused

While we’ve talked a lot about robot collaboration, it’s human collaboration that drives innovation, and customers who should be at the heart of product development in 2023 and beyond. The realisation that customers are best placed to advise on their needs and provide feedback is growing and as a result, manufacturers are finding increasing numbers of ways to involve end customers in the development process.

Co-development projects, where manufacturers and customers work together to develop specific solutions, are becoming increasingly common and allow customers to directly influence the product they are buying and deliver feedback that benefits the whole market.

The future

Robotics and automation are quickly becoming an integral part of modern life with advances being made every year. It means as we go into 2023, businesses need to innovate and adapt in order to survive, but with the right strategies in place, they can embrace all this year has in store and remain competitive into the future.

There are under three months left to take advantage of the UK government’s super-deduction tax break on automation machinery.

Despite calls from industry leaders for the incentive to be extended, the Chancellor confirmed it will end as planned on March 31 2023, making this your last chance to qualify for the 130% capital allowance deduction.

What is the super-deduction incentive?

Under the scheme, which began in April 2021, any investments a business makes in main rate plant and machinery are eligible for a 130% capital allowance deduction, compared to the usual rate of just 18%. That means 25p off your company’s tax bill for every pound you spend on qualifying equipment, with no upper spend limit.

How does it work?

If your business spends £100,000 on qualifying automation machinery, when you come to calculate your taxable profits you can deduct £130,000 – 130% of your investment. Taking this off your taxable profits reduces your tax liability by up to 19% (£24,700), thus reducing your corporation tax by the same amount.

Equipment must be new and only companies are eligible, not partnerships, sole traders or individuals. However, the super-deduction can be claimed against machinery bought using hire purchase or similar financial agreements where ownership ultimately passes to the purchaser. 

For full details of the qualification requirements and exactly how you could benefit we recommend you speak to your company accountant, who will be able to give you specialist advice tailored to your circumstances. 

The wider benefits

The super-deduction incentive was introduced to encourage companies to invest in plant and machinery to boost productivity, aid the UK’s economic recovery in the wake of the Covid-19 pandemic and help UK businesses to compete on a global stage. 

And with the UK falling behind when it comes to the use of robots in manufacturing, this push towards automation is much-needed. According to the latest International Federation of Robots (IFR) World Robotics Report, just 0.4% of the 517,385 robots installed in factories worldwide were in the UK and while global installations increased by 31% year-on-year, on home turf they were down by 7%.

Nevertheless, interest and investment in robotics are still growing, driven by the increased flexibility, cost savings and greater efficiency that automation can deliver. More and more manufacturers are seeing how adding machines from palletisers to handling systems to their production lines has the potential to transform their operations for the better – and the super-deduction tax break has been a further incentive. 

It’s expected that the number of installations will continue to rise into the new year with those who invest before the deadline future-proofing their business and gaining a clear competitive advantage.