Inside the Workforce
In two reports, PMMI identifies workforce issues an remedies, including AI options
As baby boomers continue to retire in large numbers, workforce issues likely will worsen in the manufacturing sector, especially as companies lose valuable institutional knowledge unless it can be transferred to younger generations.
Artificial intelligence (AI) is a way to bridge some of those gaps, according to a recent report from PMMI, The Association for Packaging and Processing Technologies.
“Building an AI Advantage in Packaging Equipment”—produced by PMMI Business Intelligence and Interact Analysis, a global research company—identifies five areas in which AI has made the most significant strides. “Knowledge Transfer” is among them.
“Knowledge Transfer refers to the capture and dissemination of knowledge within an organization, particularly between new employees and existing or departing employees,” the report says. “During the research, Knowledge Transfer emerged as the most frequently cited technology by end-users, OEMs [original equipment manufacturers], and AI experts when discussing which AI solutions are expected to have the greatest impact on the packaging sector. Companies across the manufacturing sector are suffering from shortages of key skilled workers, with newer employees lacking the required skills and expertise.”
A case study in the report demonstrates how AI enabled faster onboarding for new hires, reduced operational delays, and enhanced knowledge sharing across teams.
“AI can be employed to support the capture of retained or ‘tribal’ knowledge through recording exit interviews and summarizing key information,” the report, released in February, also says. “This information can be stored in an accessible, user-friendly database available via handheld devices, providing workers with on-demand advice and access to company information.”
Other Efficiencies
The report further notes that systems for another AI area, “Machine Vision”—“leveraging cameras and sensors to capture, interpret, and act on visual data for quality control and operational efficiency”—can reduce reliance on manual inspections and mitigate labor shortages. In a case study on Machine Vision, a food processor used AI and robotics “to automate labor-intensive tasks, reducing the reliance on temporary workers.”
“This case illustrates how AI-powered machine vision combined with robotics can mitigate labor volatility, improve hygiene, and maintain throughput in high-demand food processing environments,” the report says.
The other three areas where AI tools improve operations center on “Predictive Maintenance,” “Data Transparency,” and “Regulation and Compliance.” In these areas as well, AI added value to workforce issues through increased efficiency, reduced errors, and other time-saving gains, the report points out.
“Predictive Maintenance has become a strategic priority for packaging companies facing labor shortages, rising production demands, and sustainability pressures,” the report says. “The convergence of AI, IoT [Internet of Things], and machine learning is transforming maintenance from a reactive cost center into a proactive, data-driven function that enhances reliability, efficiency, and competitiveness.”
While those are some of the key workforce-related takeaways, the 28-page report also provides a detailed overview of how companies are adopting AI software and the obstacles they face, such as identifying business and product challenges and achieving a return on investment (ROI).
“Packaging companies are becoming more confident in exploring and trialing AI tools,” the report says in its conclusion. “However, challenges around skepticism, accountability, latency, cybersecurity, and demonstrating ROI persist. These barriers must be addressed for AI adoption to scale effectively.”
The report’s methodology included 14 in-depth interviews across the packaging industry value chain, including with AI software developers, vendors, packaging-machine OEMs, investment banks, system integrators, and consumer packaged goods (CPG) companies.
“Experts interviewed for this study consistently emphasized the risk of falling behind, given the accelerating pace of innovation,” the report concludes. “Early adopters must continue evolving their solutions as AI becomes more powerful.”
The full report can be found at pmmi.org under the “Business Intelligence” tab.
Earlier Workforce Report
The AI study refers to PMMI’s earlier in-depth look at the overall workforce issues, “2025: Inside the Workforce Gap.”
Published in November, the report outlined that nearly 95% of CPG companies have difficulty hiring skilled workers. And nearly two-thirds expect the problems to only worsen in the future.
Training and knowledge retention issues are among the top concerns, according to the workforce study. CPG companies reported that workers learn best by doing tasks, relying on shadowing and hands-on repetition for training methods. However, because of the nature of shift work, training can vary, and knowledge can be lost when experienced staff leave.
“The CPG firms interviewed said the labor problem is exacerbated by the retirement of experienced staff, high turnover among new hires, and intense competition for technicians, leaving many companies unsure how the labor pool will improve,” Jorge Izquierdo, vice president, market development at PMMI, said in a statement after the report was released. Grace Lee andJenna Henderson of PMMI Business Intelligence authored the 2025 workforce study.
Printed materials and employee shadowing are widely used methods for training workers, with digital and embedded tools underutilized, the report also found.
Automation is seen as a solution to workforce challenges and will continue to be applied to loading/unloading, inspection, and changeover operations. Barriers to its implementation remain, including ROI concerns, limited plant footprint, and potential downtime during installation and training.
OEMs Play a Role
OEMs told PMMI’s researchers that their customers frequently discuss workforce challenges. OEMs that modernize equipment design and training/support models will be best positioned to help close workforce gaps and meet evolving customer expectations, the 2025 report says. In addition, educating end users on underutilized tools and demonstrating ROI on training investments can drive stronger adoption of automation.
Researchers also found that end users report that sophisticated machines can be difficult to troubleshoot and maintain, and operators frequently struggle with complex or customized machines, outdated manuals, and a lack of guidance. Seventy-three percent of CPGs use printed manuals and standard operating procedures (SOPs) to onboard and upskill their operators. However, only 14% of them rank printed SOPs or manuals as the most effective method for onboarding or upskilling operators, way behind other alternatives.
“CPG companies are requesting more training by video content, which many view as a flexible, accessible format that could support operators on demand—signaling an opportunity for OEMs to expand their offerings,” PMMI says. “End users also believe that scalable complements, such as short training videos, human-machine interface step-throughs, or picture-driven manuals, could help capture expertise and reduce dependence on undocumented knowledge.”
The report suggests several ways to resolve such issues.
“Companies may need to pair hands-on shadowing with documented, digital formats that make knowledge more consistent and transferable across the workforce,” PMMI says. “OEMs can bridge the gap by implementing practical design features and embedded tools that can reduce errors, cut downtime, and empower less experienced staff.”
“Machine builders also should provide training tools that are clear, consistent, and accessible, including multiple languages, picture-driven manuals, short, task-based videos, and digital libraries linked to each machine,” it continues. “Training could also be improved through skilled trainers and follow-up support after installation.”
More on ‘Tribal Knowledge’
he February report, “Building an AI Advantage in Packaging Equipment,” references interviews with end users in an earlier report on the workforce, “2025: Inside the Workforce Gap.”
The workforce study by PMMI, The Association for Packaging and Processing Technologies, highlighted what happens when experienced staffers retire or leave a company, taking their “tribal knowledge” with them. The skill and training gaps make it more difficult for replacements to succeed.
“Typical lost knowledge includes: 1) informal troubleshooting and workarounds; 2) knowledge of legacy systems; 3) process intuition,” PMMI says. “While Knowledge Transfer has been described by some individuals as a means of capturing knowledge from departing employees, our primary research reveals that an accessible, perpetual knowledge base, collectively updated with integrated machine learning, can be equally powerful.
“Through this approach, companies can reduce the loss of tribal knowledge, speed up and improve training, and democratize access to key information,” PMMI also says, while referencing an earlier report on artificial intelligence (AI) from 2024. “Since 2024, interest in knowledge-transfer technology among packaging companies has grown significantly. In our 2024 research, participants expressed a strong desire to use AI to capture and share organizational knowledge, yet none had implemented relevant solutions.”
However, a shift started by 2026.
“Several companies have adopted knowledge-transfer systems, and all end-user organizations are actively exploring implementation strategies,” the 2026 AI report says. “This marks a clear transition from curiosity to action.”
PACK EXPO International Scheduled for October
The 2026 PACK EXPO International will be held October 18–21 in Chicago and will include various sessions on workforce concerns and development in addition to artificial intelligence (AI).
“In the two years since our last show, trends like AI, robotics, and automation have taken off and become prominent in the industry,” Laura Thompson, vice president, trade shows, PMMI, The Association for Packaging and Processing Technologies, said in a news release about the Chicago expo. “We’ve also seen workforce challenges, sustainability demands, and regulatory pressures remain top concerns.”
A $30 discount registration is available before September 25, according to the expo’s website, packexpointernational.com. It then increases to $130.
The show, produced by PMMI, is expected to feature more than 2,600 exhibitors and attract more than 48,000 visitors.
