Obsolescence of mechanical parts, electrical and electronic components, and software and digital infrastructure is accelerating, according to Managing Obsolescence, a report published in July 2026 by PMMI Business Intelligence, a part of PMMI, The Association for Packaging and Processing Technologies. Software and digital components are most often affected. The major force driving obsolescence is the development of new technology, but failures, digital incompatibility, and material cost and availability also play a role.
Stronger coordination across the supply chain and within organizations can support more effective planning, reduce disruption, and improve response to future obsolescence events, according to the report. The analysis of the operational impact of obsolescence describes how end users, original equipment manufacturers (OEMs), and component suppliers can overcome gaps between industry needs and current practices.
Despite the costly and disruptive nature of obsolescence, a substantial number of end users, OEMs, and component manufacturers have not established a formal process to address it. Nor do they have a dedicated obsolescence manager. In addition, obsolescence communication timelines and the time during which obsolete components are available tend to be shorter than industry preferences.
To mitigate the negative effects of obsolescence, end users rely on backstocking, seek alternatives, purchase new machinery, and extend component life via preventive maintenance programs. They want OEMs to communicate obsolescence events as early as possible, avoid custom components, and assist in planning for and mapping obsolescence challenges.
However, OEM obsolescence management tactics primarily focus on providing conversion kits, creating new components, and selling new machinery. OEMs would also like early communication and assistance with planning and mapping potential obsolescence events. In addition, they wish component manufacturers would be more transparent about R&D cycles.
To address these needs, some component manufacturers explain why a component is being discontinued, offer alternatives, and provide estimates of product lifespan and conversion kit costs.
The report concludes that all stakeholders have a role to play in communicating, planning for, and managing obsolescence events. Collaboration and more formal processes would help prevent obsolescence events that trigger cascading impacts across multiple components or systems or result in a premature lack of backstocked components.
OEMs and component manufacturers should prioritize proactive communication and provide as much lead time and supporting information as possible when issuing obsolescence declarations. They also should be prepared to communicate this information to multiple contacts and departments within customer organizations, according to the report.
To manage future risks and costs, end users would benefit from the data needed to factor obsolescence into total cost of ownership calculations and into upfront offerings such as proactive service agreements and component planning strategies.
As the report makes clear, managing obsolescence requires earlier communication, stronger planning and closer collaboration among end users, OEMs and component suppliers. PACK EXPO International 2026 provides a timely forum for those conversations, bringing 48,000 attendees together with 2,600 exhibitors to see machinery in action, compare emerging technologies, discuss equipment lifecycle and service strategies, and make more informed total-cost-of-ownership decisions. Across 1.3 million net square feet, attendees can connect directly with the partners and solutions that can help reduce disruption and prepare their operations for future obsolescence challenges.
Visit packexpointernational.com to learn more and register.
