17/10/2024

Overcoming the Top 5 Hurdles to Digital Transformation in Print and Packaging

Digital transformation, Knowledge

Embarking on a digital transformation journey can feel like navigating through a complex maze. It’s filled with twists, turns and unexpected obstacles and while the destination – better connectivity, enhanced efficiency and greater sustainability – is clear, it can be difficult to find the right path.

In a recent survey, we asked our LinkedIn community about their biggest hurdles in embracing digital transformation. Based on the responses, we identified the top challenges that companies are facing. To overcome the most common roadblocks, let’s dive deeper into these findings and explore actionable insights that will help you turn challenges into opportunities. Plus, we’ll share an additional tip that can help your business thrive in the digital age.

 

LinkedIn survey results
Results of the LinkedIn survey at a glance

1. Resistance to Change (41%): Build a Community of Change Champion

As highlighted by the poll, the most significant hurdle is often internal. Digital transformation is not just about adopting new technology; it’s about shifting people’s mindsets. It is no surprise in an industry like ours – steeped in tradition – that the reluctance to move away from long-established processes and embrace new methods is a challenge many businesses face.

Overcoming the hurdle: Change management is key. Start by engaging all stakeholders early in the process and clearly communicate how new digital technologies will improve the way you do business and achieve your organisational goals. Highlighting success stories from specific departments or other companies is great to build confidence and motivation. Finally, senior management should lead by example, demonstrating enthusiasm for digital transformation and actively participating in upskilling initiatives.

Exemplary initiative: You can accelerate this process by selecting digital-savvy individuals from different departments to become ‘change champions’ within your organisation. They would be trained to understand new technologies you’re implementing and act as points of contact for their respective teams. By embedding digital knowledge at various levels of your business, you’ll reduce resistance and create enthusiasm for transformation.

Koenig & Bauer, for instance, is no exception. To overcome this hurdle, our Digital Unit quickly realised that internal communication had to be put much higher on the agenda. Unlike steel and iron, digital products are less tangible than machines and often require a lot of explanation. We therefore created an internal community of ‘Digital Ambassadors’ to effectively transfer knowledge about our digital solutions within the company and to our valued customers.

2. Complexity of Integration (27%): Choose Open Systems Designed for Seamless Connectivity

Coming in second at 27 percent, the ‘Complexity of Integration’ underscores the challenge of seamlessly integrating new digital technologies into existing workflows and legacy systems, which is often seen as an overwhelming task. Concerns about compatibility, data migration and potential disruptions can lead to hesitation and missed opportunities.

Overcoming the hurdle: Instead of trying to overhaul everything at once, start small and adopt a step-by-step approach to integration. Begin with smaller pilot projects to test and refine integration strategies before rolling out solutions across the entire organisation. Clear planning, coupled with strong partnerships, is key. Choose a foundation system that is as open as possible, allowing for easy integration with third-party machines and systems.

Exemplary initiative: You want to perform comprehensive data analysis to power up your performance management, but are faced with a heterogeneous machine and IT landscape where data consolidation is a mammoth task? This is where our myKyana platform and its suite of digital products can give you a decisive advantage. The entire ecosystem is designed with an open architecture, making it easy to connect third-party machines and systems. It reduces integration complexities and enables you to leverage existing investments while embracing new digital capabilities. When selecting technology partners, prioritise those that offer open solutions that fit seamlessly into your existing infrastructure.

3. Lack of Resources (18%): Opt for Flexible Cloud-Based Software

18 percent of respondents identified the ‘Lack of Resources’ as a significant barrier. Digital transformation requires investment in new technologies, IT infrastructure and talent. Many companies, especially smaller ones, may face budget constraints and struggle to allocate the necessary resources.

Overcoming the hurdle: Develop a digital transformation roadmap with well-defined goals and milestones. This will help ensure that resources are allocated strategically in the long run. Investigate government grants, tax incentives or financing options to help bridge the funding gap. Finally, consider cloud-based solutions, which provide a cost-effective and scalable way to access the latest digital tools and capabilities without significant upfront IT investment compared to conventional on-premise solutions, where you have to build up your own server capacities and infrastructure in order to store, process and protect incredibly large volumes of data.

Exemplary initiative: VisuEnergy X, our advanced energy management system, is a great example of a flexible, cloud-based solution that helps you achieve your sustainability goals without draining your resources. You can start small – by implementing the system in your production facility, where the biggest energy consumers are likely to be located – and scale up later by connecting your entire production site. With its flexible subscription model, you only pay for what you use and can integrate additional data points into your measurement concept at any time.

Pro tip: Additionally, many governments offer subsidies to promote sustainability initiatives. For instance, in Germany, the Federal Office for Economic Affairs and Export Control (BAFA) provides funding for implementing energy management systems like VisuEnergy X.

4. Gaps in Expertise (14%): Embrace Lifelong Learning

The fact that only 14 percent of participants voted for ‘Gaps in Expertise’ means that most companies are confident in their skills and knowledge when it comes to adopting new digital technologies. Yet, companies may find it challenging to find and retain talent with the necessary skills to drive digital transformation initiatives.

Overcoming the hurdle: Embrace a learning culture by actively encouraging continuous learning and knowledge sharing across the organisation. Invest in training and development and provide ongoing opportunities for employees to upskill and develop their digital capabilities. It is a good idea to partner with experts and collaborate with technology providers or external consultants who can offer specialised knowledge and guidance.

Exemplary initiative: At Koenig & Bauer, we believe in fostering a culture of continuous learning. We have an internal learning platform, the Koenig & Bauer Campus, where employees can access a wide range of training resources and development programs. We are currently developing a very similar learning hub for our customers, Kyana Campus, set to launch in 2025. This platform will provide your staff with the knowledge and tools they need to navigate the complexities of technological advancements and digital technologies successfully.

5. Data Security Concerns: Leverage know-how from industry leaders

While not explicitly mentioned in the poll, we recognise that concerns about data security can be a significant hurdle for many businesses. The increased reliance on digital technologies and cloud-based solutions in today’s interconnected world can expose companies to potential cyber threats and data breaches. The fear of unauthorised access to sensitive information can be a major roadblock to digital transformation.

Overcoming the hurdle: It is important to implement robust security measures, such as strong password policies, multi-factor authentication and data encryption to protect sensitive information. To keep all software and systems up-to-date to address any security vulnerabilities it is necessary to regularly update all software and systems. To foster awareness of cybersecurity and the effects that possible threats may pose on your business it is important to educate employees on how they can identify and avoid potential attacks.

Exemplary initiative: Rely on the Koenig & Bauer cloud for your sensitive production data. At Koenig & Bauer, we understand the importance of data security. Our cloud solutions are built on the secure foundation of Google Cloud technology, renowned for its industry-leading security protocols and compliance certifications. By partnering with Google Cloud, we provide our customers with peace of mind, knowing their valuable production data is safeguarded by the best in the business.

Conclusion: Clarity on the Path of Digital Transformation

Digital transformation is a journey, not a destination. It requires a commitment to continuous adaptation, innovation and learning. By addressing these hurdles head-on and embracing the opportunities that digital technologies offer, print and packaging companies can position themselves for success in this new era.

At Koenig & Bauer DIGITAL, we strive to accompany our customers on every step of this journey. If you would like to find out more about how we can support you in your digital transformation, please do not hesitate to contact us.

Anja Döhler

Marketing Manager

Friedrich-List-Straße 47,
01445 Radebeul, Deutschland

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Photo 1: LinkedIn survey results
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Digital Packaging Workflow

with PrintFusion

With PrintFusion, the interface between Koenig & Bauer Rapida presses and the prepress software from HYBRID Software, your workflow becomes even more efficient. PrintFusion enables a bidirectional exchange of information that ensures seamless integration and automation of production processes. Thanks to the jointly developed PrintFusion interface, data such as setting parameters and positions of measuring elements are automatically exchanged between prepress and the printing presses. The automated data exchange leads to significant increases in efficiency and error prevention, as manual intervention and repetitive tasks are eliminated.

Long-term technology partnership for innovative 360-degree packaging workflow

For the development of PrintFusion, HYBRID Software and Koenig & Bauer have combined their expertise to create a highly automated and efficient production environment that meets the requirements of the modern printing industry. This collaboration will continue on an ongoing basis in order to constantly optimise the interface and integrate new functions. One example of this is the automatic feedback to compensate for process-related substrate stretching, which is already being introduced as part of a pilot customer programme.

A look into the future at drupa 2024

PrintFusion has been presented to the public for the first time at this year’s leading trade fair for printing technologies. Visitors will have the opportunity to gain an exclusive insight into the first results of the close partnership between HYBRID Software and Koenig & Bauer. Through automation and the intelligent exchange of data between prepress and press, PrintFusion will set new standards in print production and pave the way for a sustainable and high-performance future in the printing industry.

Connected Packaging

FOLLOW combines print and the digital world

With FOLLOW, Koenig & Bauer is building a bridge between analogue packaging and the digital world. Discover the universe of new possibilities that the cloud-based platform and the associated app have in store for printing businesses, brand owners and consumers.

Printing goes Metaverse

with NFT-Technology and “Gemme”

Under the project title “Printing Goes Metaverse”, Koenig & Bauer is building a bridge from classic printing to the metaverse in collaboration with NABA (Nuova Accademia di Belle Arti, Milan) and epda (european brand & packaging design association). With the support of Italian design students, a project was realised that uses NFT technology to authenticate luxury goods such as limited edition handbags, jewellery or valuable trading cards. The luxury jewellery brand “Gemme” was created as an exemplary visualisation.

Classic print meets metaverse

Digital proof of ownership is used instead of conventional paper certificates of authenticity. The forgery-proof blockchain technology is impressively demonstrated using special printing technologies and a digital app. This innovative combination of digital proof of authenticity and the traditional art of printing shows how the printing industry is connecting with the new digital reality of the Metaverse.

What advantages does NFT technology offer

An NFT is a blockchain-based token that represents digital or physical assets such as artworks, digital content or media. Unlike other cryptocurrencies, each NFT is unique and non-exchangeable. It serves as a digital certificate of ownership and authenticity and enables owners to trade and sell their assets.

Brands from the luxury goods segment in particular are using NFT technology to enable customers to connect the digital and physical worlds. The main focus here is on the experience of being able to use the purchased product in the digital world. In addition, forgery-proof authentication can be guaranteed by NFT’s unique verifications with a complete history and absolute security.

How does the printing work?

Using a special printing process, functional structures that react to the touch of smartphone sensors can be applied to almost any printed product, creating a link between the physical product and the digital application. In combination with QR codes, this creates a forgery-proof proof of ownership. Customers receive both an origin-verified, printed NFT-Twin and the physical original.

The future is now

Navigating the digital frontier at drupa 2024

With ten revolutionary products and technologies, Koenig & Bauer set a strong signal for the future of the printing industry at drupa 2024. Here you will find an overview of all product novelties and exclusive video highlights!