Manufacturers are placing greater importance on innovation, workforce development, and long-term growth strategies, as outlined in Rockwell Automation’s 10th annual State of Smart Manufacturing Report: Consumer Packaged Goods (CPG) Edition.
“CPG manufacturers are no longer just reacting to disruption—they’re proactively investing in technologies that deliver sustainable growth and competitive advantage,” says Steve Deitzer, VP, global industry, CPG, Rockwell Automation. “This year’s report shows a clear pivot toward long-term thinking, where AI, automation, and workforce enablement are central to success.”
Key takeaways:
· In 2024, economic uncertainty and inflation were main challenges, however in 2025, competition has taken the lead, driven by increased market pressure from private-label products and changing consumer buying habits.
· Companies are focusing less on simply adopting new tools and more on making sure new technology fits their teams and operations. Usability and scalability are now critical factors in technological decisions. CPG leaders are looking for their workforce to include communications/teamwork (86%), adaptability/flexibility (85%), while analytical thinking and cybersecurity practices are tied (84%).
· 70% of CPG manufacturers are investing in AI, robotics, and simulation technologies for long-term business growth. This is a shift from last year when technology supported more sales analytics and process optimization.
· The number of manufacturers who say they are using their data to guide decision-making is up from 40% in 2024 to 44% in 2025. AI is playing a growing role in data utilization in key areas like quality control, logistics, and cybersecurity, scoring 5% above the general average.
· While 2024 emphasized attracting skilled labor, the 2025 report shows 34% of manufacturers are concentrating more on training current employees on updated processes, while 33% of the focus is on managing change effectively and improving employee retention.
