PANELO Insights / Panel Systems

SIP Panels vs PANELO – What Is the Difference?

Both systems combine structure and insulation in factory-made building elements. The key differences are not only in how the structural system is created, but also in how much work remains to be completed on site.

Structural insulated panels, commonly known as SIP panels, and PANELO panels share an important principle: both move part of the construction process from the building site into a controlled factory environment.

Both can provide highly insulated and accurately manufactured building elements that enable faster installation on site. However, their structural design and level of factory prefabrication can be very different.

PANELO combines the advantages of prefabricated insulated panels with an integrated load-bearing timber frame and project-specific factory production. The objective is to deliver large building elements that require as little modification and additional framing on site as possible.

What is a SIP panel?

A Structural Insulated Panel (SIP) is a factory-made building panel consisting of a rigid insulation core bonded between structural facings, commonly oriented strand board (OSB).

The bonded facings and insulation core work together structurally, creating a lightweight and stiff composite panel. SIP systems can be used for walls, roofs and, depending on the system, floors.

Timber may also be used at panel edges, connections, openings and other structurally important locations. The exact construction and degree of factory preparation vary considerably between SIP manufacturers and systems.

With conventional or standard-size SIP systems, additional cutting, fitting, timber reinforcement and preparation of openings may still be required during fabrication or on the construction site.

How is PANELO different?

PANELO panels contain an integrated load-bearing timber frame. The timber frame is a fundamental part of the panel's structural system rather than being limited to panel joints or selected reinforcement areas.

The frame is combined with durable structural facings such as LVL, OSB or cement board and high-performance closed-cell PUR insulation.

During production, the PUR insulation is injected into the panel in liquid form. It expands and bonds with the timber frame and facings, creating a rigid composite structure.

But the difference is not only inside the panel. PANELO elements are designed and manufactured according to the individual building project, including panel dimensions and structural openings.

The key difference: more work in the factory, less work on site

PANELO is designed as an offsite construction system. Instead of delivering standard panels that require extensive cutting, fitting and additional framing on site, PANELO converts the building design into project-specific structural elements before production.

Panel dimensions, the load-bearing timber frame and openings for windows and doors are prepared in the factory. The required structural framing around the openings is already integrated into the panel.

This means that large wall, floor and roof elements can arrive on site ready for assembly, reducing the amount of cutting, additional timber framing and modification required during installation.

Why less on-site work matters

Faster installation

Project-specific elements arrive with the main structural framing and openings already prepared, reducing the number of operations required on site.

Less site labour

Less cutting, fitting and additional framing means more of the construction work is completed in the factory instead of on the building site.

Less material waste

Manufacturing panels to project-specific dimensions reduces the need to cut standard-size panels on site and therefore reduces unnecessary offcuts.

Fewer connections

Large project-specific elements can reduce the number of individual panel joints that need to be assembled, insulated and sealed on site.

Window and door openings are already prepared

Openings are an important part of any structural wall system. They must be positioned accurately and properly framed to transfer loads around windows and doors.

In PANELO wall panels, window and door openings are included in the production drawings and manufactured directly into the panel. The required timber framing around the openings is therefore already part of the factory-made structural element.

This eliminates a significant amount of measuring, cutting and framing work on site and allows installation to proceed much more like the assembly of finished structural elements.

Fewer joints can simplify thermal and airtight detailing

Every connection in an insulated building envelope requires careful detailing and installation. Joints must be constructed correctly to maintain insulation continuity and airtightness.

Standard-size panels can require a larger number of individual elements to create the same wall or roof area. Each additional element introduces another connection that must be assembled and sealed correctly.

Because PANELO can manufacture large project-specific elements, the number of panel joints can be reduced. Fewer site-made connections can simplify the creation of a continuous insulated and airtight building envelope and reduce the amount of connection detailing required during installation.

Conventional SIP panels and PANELO compared

The comparison below describes typical conventional or standard-size SIP construction. Individual SIP systems may offer different levels of factory prefabrication.

Feature Conventional / Standard SIP PANELO
Structural principle Composite action between structural facings and rigid insulation core Integrated load-bearing timber frame combined with structural facings and PUR insulation
Timber frame Timber may be required at edges, connections, openings and reinforcement areas depending on the system Load-bearing timber frame is integrated throughout the panel as part of the primary structural system
Panel sizing Standard-size panels may require cutting and adaptation to suit the building Project-specific panels are manufactured to the required building dimensions
Window & door openings Preparation and additional framing depend on the SIP system and level of prefabrication Openings are factory-prepared with the required structural timber framing integrated into the panel
On-site cutting May be required when standard-size panels are adapted to the project Minimised through project-specific factory production
On-site framing Additional timber may be required at joints, openings and structural locations Primary structural timber frame and opening framing are already incorporated
Material waste on site Cutting and adapting standard panels can create additional offcuts Project-specific production reduces the need for on-site cutting and associated waste
Panel joints Smaller or standard-size elements can require more individual connections Large project-specific elements can reduce the number of panel joints
Thermal & airtight detailing Each site-made connection must be carefully insulated and sealed Fewer site-made connections can simplify insulation continuity and airtightness detailing
Insulation Rigid insulation core; material depends on the manufacturer High-performance closed-cell PUR insulation
Facings Typically structural board such as OSB OSB, LVL or cement board depending on the panel configuration
Manufacturing Factory manufactured; level of project-specific prefabrication varies by system Factory manufactured according to the individual building project
Applications Walls, roofs and floors depending on system Load-bearing walls, roofs and floors

From architectural design to ready-to-install elements

The PANELO process starts with the building design. The project is converted into a panel layout and the required structural elements are engineered before production.

Walls, floors and roofs are then manufactured as large, insulated structural elements with the timber frame and required openings already incorporated.

The objective is simple: complete more of the building in the factory so that less work is required on site.

Which system is right for your project?

SIP construction is an established prefabricated building method and can be an effective solution for many projects. Modern SIP systems vary considerably, and some manufacturers also provide highly project-specific factory prefabrication.

PANELO is particularly relevant when a project requires a prefabricated solution with a clearly defined load-bearing timber-frame structure and a high level of factory preparation.

For PANELO, prefabrication is not simply the production of an insulated panel. The aim is to transform the building design into large, project-specific, ready-to-install structural elements.

This approach combines timber-frame engineering, high-performance insulation and offsite manufacturing to reduce the amount of construction work that needs to be completed on site.

Explore PANELO

Wall Panels → Explore PANELO prefabricated structural timber wall panels.
Roof Panels → Explore prefabricated structural timber roof panels.
For Architects → Design freely while PANELO converts the project into factory-made elements.
For Builders → Reduce site labour with project-specific factory-made elements.

Considering SIP panels or another prefabricated timber system?

Send us your architectural drawings and project requirements. PANELO can evaluate the project and propose a factory-made wall, floor and roof panel solution designed for fast installation on site.

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