The status quo of the packaging and printing industry in 2022 and the most difficult challenges it faces

For packaging printers, digital printing technology, automation equipment and workflow tools are critical to increasing their productivity, reducing waste and reducing the need for skilled labor. While these trends predate the COVID-19 pandemic, the COVID-19 pandemic has further highlighted the importance of these aspects.
supply chain
Packaging and printing companies have been greatly affected by supply chain and price, especially when it comes to paper supply. In essence, the paper supply chain is very global, and companies in different countries and regions around the world basically need raw materials such as paper for production, coating and processing. Companies around the world are dealing with labor and the supply of materials such as paper brought on by the pandemic in different ways. As a packaging and printing company, one of the ways to deal with this crisis is to fully cooperate with distributors and do a good job of forecasting material demand.
Many paper mills have reduced capacity, leading to a shortage of paper in the market, driving up prices. In addition, freight costs have generally increased, and this situation will not end in the short term, coupled with delayed demand, logistics and rigid production processes, all have a huge negative impact on paper supply, perhaps the problem will change over time The passage of time will gradually get problems, but in the short term, this is a headache for packaging and printing companies, so packaging and printing companies should stock up as soon as possible.
Supply chain disruptions caused by the COVID-19 pandemic in 2020 continued into 2021. The global epidemic continues to affect manufacturing, consumption and logistics, coupled with rising raw material costs and freight shortages, companies in many industries around the world are facing enormous pressure. Although this situation will continue until 2022, some measures can be taken to reduce the impact. For example, plan ahead as much as possible and communicate requirements with paper suppliers as early as possible. Flexibility in the size and variety of paper stocks is also very useful if the selected product is not available.
It goes without saying that we are in the midst of a global market change that will have repercussions for a long time to come. The immediate shortage and price uncertainty will continue for at least a year. Businesses that are flexible enough to work with the right suppliers through difficult times will emerge stronger. As the raw material supply chain continues to influence product prices and availability, it is forcing packaging printers to utilize a variety of paper types to meet customers' print deadlines. For example, some packaging printers use more super glossy, uncoated paper.
In addition, many packaging and printing companies will conduct comprehensive research and judgments in different ways according to their size and the market they serve. Although some companies purchase more paper and maintain inventory, other companies optimize the paper usage process to adjust The cost of producing an order for a customer. Many packaging and printing companies have no control over the supply chain and pricing, and the real way forward is in creative solutions to improve efficiency.
From a software standpoint, it`s also important for packaging printers to carefully evaluate workflows and understand the time that can be optimized from the time a job enters the print and digital production facility to the final delivery. By reducing errors and manual processes, some packaging printers have even reduced costs by six figures. This is a continual cost reduction, while also opening the door to more throughput and business growth opportunities.
labor shortage
Another challenge facing packaging and printing suppliers is the lack of skilled workers. At present, European and American countries are facing a large-scale resignation phenomenon, and many mid-career workers leave their original units to look for other development opportunities. Retaining these employees is important because they have the experience and knowledge needed to mentor and train new employees. It is good practice for packaging and printing suppliers to provide incentives by ensuring that employees stay with the company.
It is clear that attracting and retaining skilled workers has become one of the biggest challenges facing the packaging and printing industry. In fact, even before the pandemic, the printing industry was already undergoing a generational shift, making it difficult to find replacements for retired skilled workers. Many young people do not want to spend a five-year apprenticeship learning how to operate a flexo press, instead young people prefer to use a digital press with which they are more familiar. Also, training will be easier and shorter. In the current crisis, this trend will only accelerate.
Some packaging and printing companies retained their employees during the epidemic, and some packaging and printing companies were forced to lay off staff. Once production began to fully resume and packaging and printing companies began to re-hire staff, they would find a shortage of workers, and they still are. This has prompted companies to continually find ways to get work done with fewer people, including evaluating processes to figure out how to eliminate non-value-added jobs, and investing in systems that help with automation. With a shorter learning curve for digital printing solutions, making it easier to train and onboard new operators, businesses need to continue to bring new levels of automation and user interfaces that allow operators of all skills to improve their productivity and print quality.
Overall, digital presses provide an attractive environment for the young workforce. Traditional offset press systems are similar in that a computer-controlled system with integrated artificial intelligence (AI) runs the press, enabling inexperienced operators to achieve excellent results. Interestingly, using these new systems requires a new management model that inculcates methods and processes that leverage automation.
Hybrid inkjet solutions can print in-line with an offset press, adding variable data to a fixed print in one process, and then printing individual color boxes on separate inkjet or toner units. Web-to-print and other automation technologies address worker shortages by increasing efficiency. However, it is one thing to discuss automation in the context of cost reduction. It becomes a problem for the market when there are hardly any workers available to receive and fulfill orders.
An increasing number of companies are also focusing on software automation and appliances to support workflows that require less human interaction, which is driving investment in new and upgraded hardware, software and free workflows and will help businesses achieve better results. Fewer staff to meet customer needs. The packaging and printing industry is experiencing labor shortages, along with the push for agile supply chains, the rise of e-commerce, and growth to unprecedented levels in the near term, and there is no doubt that this will be a long-term trend.
future trends
Expect more of the same in the coming time. Packaging and printing companies should continue to monitor industry trends, supply chains, and invest in automation where possible. Leading suppliers to the packaging and printing industry are also paying attention to their customers' needs and continue to innovate to help support them. The innovation also goes beyond product solutions to include advances in business tools to help optimize production, as well as advances in forecasting and remote service technology to help them maximize uptime.
External problems may still be unpredictable, so the only solution for packaging printers is to optimize their internal processes. They will seek new sales channels and continue to improve customer service. Recent surveys indicate that more than 50% of packaging printers will invest in software in the coming months. The pandemic has taught packaging and printing companies to invest in leading products such as hardware, inks, media, software that are technically sound, reliable, and allow for multiple output applications, as market changes can quickly dictate volumes. "
The drive for automation, shorter run orders, less waste and full process control will dominate all printing sectors, including commercial printing, packaging, digital and traditional printing, security printing, currency printing and electronics printing. It follows Industry 4.0 or the Fourth Industrial Revolution, combining the power of computers, digital data, artificial intelligence and electronic communications with the entire manufacturing industry. Incentives such as a reduced workforce, competitive technology, rising costs, shorter turnaround times, and the need for added value will not return.
Safety and brand protection are an ongoing concern. Demand for anti-counterfeiting and other brand protection solutions is on the rise, and this is an excellent opportunity for printing inks, substrates and software. Digital printing solutions offer huge growth potential for governments, authorities, financial institutions and others dealing with security documents, as well as brands that need to deal with counterfeiting, especially in the nutraceuticals, cosmetics and food and beverage industries.
In 2022, sales of major equipment suppliers continue to increase, and as a member of the packaging and printing industry, we are striving to make every process as efficient as possible, while striving to enable people in the production chain to make decisions, manage and meet. Business development and customer experience requirements. The COVID-19 pandemic has brought real challenges to the packaging and printing industry. Tools such as e-commerce and automation have helped ease the burden on some, but issues such as supply chain shortages and access to skilled labor will remain for the foreseeable future. However, the entire packaging and printing industry has remained very resilient in the face of these challenges and has actually grown. Clearly, the best times are yet to come.