Rockwell Automation has released its 10th annual State of Smart Manufacturing Report: Consumer Packaged Goods (CPG) Edition, highlighting how manufacturers are shifting focus from short-term cost-cutting to long-term innovation and workforce strategies.
According to Rockwell Automation, the CPG sector is responding to mounting pressures, including the growth of private-label products, rising consumer expectations for customisation and transparency, and the need for faster innovation.
Instead of relying on limited-scale technology trials, the report found that manufacturers are now investing in solutions that deliver measurable results across entire operations.
Rockwell Automation said the report reflects a clear industry trend toward aligning technology, people, and processes to support scalable and adaptable manufacturing systems.
This approach is helping companies remain competitive in a market where consumer loyalty is increasingly difficult to maintain.
The 2025 report notes that competition has overtaken inflation and economic uncertainty as the leading challenge for the CPG industry.
Rockwell Automation found that manufacturers are now emphasising technology adoption that directly benefits their workforce. Communication, adaptability, analytical thinking, and cybersecurity were among the most sought-after skills in 2025.
Artificial intelligence and robotics have emerged as top investment priorities, with 70 per cent of CPG manufacturers allocating resources to these technologies.
Rockwell Automation said this represents a significant shift from last year, when investments were more heavily focused on sales analytics and process optimisation.
The report also found an increase in companies effectively using data for decision-making, rising from 40 per cent in 2024 to 44 per cent in 2025, with AI increasingly applied in quality control, logistics, and cybersecurity.
Workforce strategies are also evolving. Rockwell Automation said manufacturers are placing greater emphasis on training existing employees and improving retention, rather than focusing solely on attracting new talent.
In 2025, 34 per cent of CPG leaders reported prioritising training, while 33 per cent highlighted change management and retention as key strategies.
“CPG manufacturers are no longer just reacting to disruption – they’re proactively investing in technologies that deliver sustainable growth and competitive advantage,” said Steve Deitzer, vice president, 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.”
The findings are based on responses from 174 CPG leaders across 15 countries and form part of Rockwell Automation’s broader global research initiative surveying over 1,500 manufacturing decision-makers.
The full findings of the report can be found here.
