The DPP in manufacturing: from Industry 4.0 to Industry 5.0

DPP manufacturing: From Digital Transparency to Human-Centered Sustainability

The evolution from Industry 4.0 to Industry 5.0 marks a fundamental shift in manufacturing philosophy—from automation and efficiency toward human well-being and sustainability as core business drivers. At the center of this transition sits the Digital Product Passport (DPP), a standardized digital record that captures product lifecycle data, material composition, environmental impact, and social considerations. Rather than a mere regulatory compliance tool, a DPP represents an infrastructure layer enabling manufacturers to embed transparency and accountability directly into production systems.

The imperative for DPP manufacturing is both regulatory and operational. As governments worldwide—particularly the European Union—mandate product-level documentation through frameworks like the European Sustainability and Pollutants Register (ESPR) and battery regulations, manufacturers face pressure to fundamentally rethink how they capture, structure, and share production data. Yet the real competitive advantage lies not in compliance alone, but in leveraging DPP infrastructure to unlock circular economy practices, reduce waste, and demonstrate genuine sustainability to increasingly conscious consumers and supply chain partners.

The Framework: What Makes a DPP Effective in Manufacturing

Psarommatis and May (2024) developed a comprehensive DPP framework and implementation template that clarifies what manufacturers must capture and how to organize that data for downstream use. Their research demonstrates that effective digital product passports do more than list materials; they provide a structured pathway through which supply chain transparency becomes operational advantage. A well-designed DPP captures production data at the point of manufacture—material inputs, process parameters, energy consumption, waste metrics—and organizes this information in a format that survives the product’s entire lifecycle, from retailer to consumer to end-of-life recovery.

The framework emphasizes that DPP success depends on early integration into manufacturing systems rather than retrospective documentation. When production teams embed passport logic into cyber-physical systems from the outset, data collection becomes continuous and automated, reducing manual overhead and improving accuracy. This approach is particularly relevant for sectors like electronics and complex assemblies, where bill-of-materials (BoM) data, supplier credentials, and process history must all align with actual production reality.

Integrating Sustainability Signals: Absolute and Social Dimensions

Industry 5.0 introduces an explicit human and environmental mandate that goes beyond Industry 4.0’s efficiency focus. Panza, Bruno, and Lombardi (2023) advanced DPP methodology by proposing integration of both absolute environmental sustainability—measured against planetary boundaries and lifecycle assessment (LCA) thresholds—and social sustainability derived from social life cycle assessment (SLCA). Rather than treating these as separate reporting streams, their enhanced DPP framework embeds specific environmental and social indicators with defined thresholds directly into the passport record.

This integration is critical for manufacturers navigating Industry 5.0 requirements. An environmental indicator within a DPP might track carbon intensity per unit produced against a defined threshold aligned with climate targets. A social indicator might document workforce safety incidents, training hours, or supply chain labor compliance assessments. By structuring these indicators within the passport itself—rather than maintaining separate sustainability reports—manufacturers create a single source of truth that cyber-physical systems can monitor, enforce, and communicate across the supply chain.

The threshold-based approach enables automated decision-making: a production batch exceeding carbon intensity thresholds might trigger process review, material substitution notifications, or supplier engagement workflows. This closes the gap between sustainability ambition and operational execution, transforming the DPP from a passive record into an active governance mechanism aligned with Industry 5.0’s focus on sustainable and human-centered outcomes.

Interoperability and Event-Based Data Aggregation

One practical obstacle to DPP adoption is fragmentation: manufacturers operate with disparate systems, suppliers use different data formats, and no universal standard existed until recently. Ajdinović, Strljic, Lechler, and Riedel (2024) addressed this through an event-based approach to building interoperable Digital Product Passports using standardized data models and Asset Administration Shells (AAS). Their methodology treats production as a sequence of discrete, timestamped events—material receipt, process execution, quality check, assembly, test—each captured in a standardized format.

Event sourcing offers several advantages for DPP manufacturing. First, it creates an immutable audit trail: every action that contributes to product identity is recorded with timestamp and actor information, supporting traceability and accountability. Second, event-based systems can aggregate data across heterogeneous manufacturing environments: a component supplier using one system, an assembly plant using another, and a logistics partner using a third can all publish standardized events that roll up into a coherent DPP. Third, this approach naturally supports circular economy principles by preserving detailed production metadata that enables accurate material recovery and remanufacturing decisions at end-of-life.

The Asset Administration Shell standard, increasingly adopted alongside EPCIS 2.0 and GS1 Digital Link standards, provides the technical container for this event data. By anchoring DPP manufacturing in these open standards rather than proprietary platforms, manufacturers reduce vendor lock-in and improve long-term interoperability across supply chain participants.

Circular Economy Enablement: From Linear to Regenerative

Walden, Steinbrecher, and Marinkovic (2021) positioned Digital Product Passports as a foundational mechanism for scaling circular business models at the manufacturing level. Where circular economy implementation has historically faced barriers—lack of transparency about material composition, fragmented supply chain visibility, difficulty matching recovered materials to new applications—DPPs provide a scalable solution by embedding the necessary data directly into products.

Consider a practical example: a manufacturer producing electronic devices typically has limited visibility into what happens to products at end-of-life. Recovery rates remain low, valuable materials are lost, and circular supply loops cannot form. A robust DPP, continuously updated through the product’s use phase, changes this dynamic. The DPP records exact material composition (including trace elements and hazardous substances), assembly design that enables disassembly, supplier compliance certifications, and wear patterns across the use phase. When the product reaches a recycler or remanufacturer, this information is immediately available in digital form, eliminating guesswork and enabling high-value material recovery. The recovered materials can then populate a new product’s DPP, creating a documented material loop.

The EU battery regulation serves as a concrete regulatory precedent. By mandating a Digital Battery Passport with specific material and production data, the regulation creates infrastructure in which circular models become operationally feasible. Manufacturers who embed similar passport logic across their product lines—supported by DPP-as-a-service platforms that manage data aggregation and standards compliance—position themselves to capture circular economy value before it becomes a minimum compliance requirement.

Manufacturing Execution and Data Governance

Implementing DPP manufacturing is not merely a data format decision; it requires changes in how manufacturing execution systems (MES) are designed and operated. Production teams must capture granular data—not just final quality metrics, but process parameters, material batch identifiers, equipment settings, and operator credentials. This level of traceability was previously reserved for highly regulated sectors like pharmaceuticals; DPP manufacturing extends it across mainstream industrial sectors.

The governance challenge is equally important. Who owns the passport data? Which actors can write to it, and which only read? How are disputes about data accuracy resolved? How is historical data retained and made accessible decades after production? Psarommatis and May (2024) emphasize that DPP frameworks must include clear governance protocols specifying data ownership, update authority, and access rights. Manufacturers must establish these protocols before deployment, as retroactive governance changes disrupt interoperability and create legal uncertainty for supply chain partners.

Sectoral Readiness: Electronics, Textiles, and Beyond

DPP manufacturing adoption is proceeding unevenly across sectors. Electronics is furthest advanced, driven by regulatory momentum (ESPR, critical raw materials regulations) and existing supply chain digitalization. The GovGDS platform currently operates a jewellery demonstrator, with textile and electronics roadmap initiatives reflecting regulatory priority and supply chain complexity.

For sectors not yet under regulatory mandate, DPP manufacturing adoption is motivated by competitive positioning. Early adopters gain visibility into their supply chains that competitors lack. They can demonstrate material provenance and labor compliance to premium customers. They recover value from end-of-life products more efficiently. These advantages accumulate, making DPP investment a strategic, not merely compliance, decision.

FAQ

How does a DPP differ from a standard product label or QR code?

A traditional product label provides static, human-readable information at the point of sale. A Digital Product Passport is a dynamic, machine-readable record that captures production parameters, material composition, environmental performance, and social compliance data, structured according to standardized data models. Unlike a static QR code, a DPP can be updated throughout the product’s lifecycle, enabling tracking of actual use patterns, repair history, and end-of-life disposition. This enables downstream actors—retailers, consumers, recyclers—to make informed decisions based on verified data, not marketing claims.

What standards and systems do manufacturers need to implement a DPP?

At minimum, manufacturers should align with GS1 Digital Link for product identification, EPCIS 2.0 for event data exchange, and Asset Administration Shell (AAS) for data modeling. Regulatory frameworks like ESPR and the Data Act establish requirements around data quality, access, and governance. Most manufacturers will not build DPP infrastructure in-house; instead, they partner with DPP-as-a-service platforms that handle standards compliance, data aggregation, and interoperability with supply chain partners. This reduces implementation complexity and allows manufacturers to focus on their core production processes.

How does DPP manufacturing support Industry 5.0 goals?

Industry 5.0 prioritizes sustainability and human well-being alongside efficiency. DPPs enable this by embedding environmental and social indicators—aligned with planetary boundaries and labor standards—directly into production governance. Rather than treating sustainability as a separate reporting function, DPPs make sustainability data operational: manufacturing decisions are informed by real-time sustainability signals, waste is minimized through better material tracking, and end-of-life value is preserved through documented material composition. This integration transforms the DPP from a compliance document into an active agent of sustainable, human-centered manufacturing.

References

• Psarommatis F.; May G. (2024). Digital Product Passport: A Pathway to Circularity and Sustainability in Modern Manufacturing. Sustainability (Switzerland). https://doi.org/10.3390/su16010396
• Panza L.; Bruno G.; Lombardi F. (2023). Integrating Absolute Sustainability and Social Sustainability in the Digital Product Passport to Promote Industry 5.0. Sustainability (Switzerland). https://doi.org/10.3390/su151612552
• Ajdinović S.; Strljic M.; Lechler A.; Riedel O. (2024). Interoperable Digital Product Passports: An Event-Based Approach to Aggregate Production Data to Improve Sustainability and Transparency in the Manufacturing Industry. 2024 IEEE/SICE International Symposium on System Integration, SII 2024. https://doi.org/10.1109/SII58957.2024.10417487
• Walden J.; Steinbrecher A.; Marinkovic M. (2021). Digital Product Passports as Enabler of the Circular Economy. Chemie-Ingenieur-Technik. https://doi.org/10.1002/cite.202100121