ABSTRACTMost vertical form, fill and seal machines use thermoplastic films. However, the gradual shift towards sustainability has created challenges for the packaging industry to employ flexible coated paper‐based materials for packing products. Forming shoulders are a crucial component in packaging machinery for creating coated paper‐based packaging as the size and shape of the packaging depend on their geometrical features. However, the shoulder geometry and design can negatively affect paper packaging by causing unwanted wrinkles and tears, which can affect the shelf lives of products. Therefore, this study focused on developing a new shoulder and optimizing its geometrical parameters for coated paper‐based packaging. Conventional forming shoulders were experimentally investigated by evaluating the influence of their geometrical parameters on flexible coated papers before focusing on optimizing the new shoulder. Additionally, this study aimed to improve the overall runnability and convertibility of the coated paper on the forming shoulder. The newly designed optimized shoulder features an enhanced geometry that can minimize the stress–strain effect. Additionally, the computerized numerical control machined new shoulder features improved web tracking and material handling process. The study achieved to produce lower surface roughness with minimum number of wrinkles on the pillow bag's surface. Furthermore, it ensures that the oil‐ and grease‐resistance properties of the converted coated paper are maintained and feature an enhanced geometry that minimizes the stress–strain effect on paper, thereby offering a more sustainable and efficient packaging solution.