Hi Naren,
Deciding whether to use the standard label or generating new shipping label is always a tough task in all of my project i started with standard shipping label and landed in developing new shipping label / smart form.
we had the similar requirement like you and we did an analysis and identified how many variation are there and after all this we found we were supposed to generate around 30 different shipping label. When we looked at detail level among them then we identified that there are few shipping label which are having difference of only one or two field and we went back to business explained him and finally we landed to generate 5 shipping label.
I can also suggest the same map the individual requirement check what are the difference and try to convince business
More towards Business consulting than Technology consulting