The thesis describes the development of a smart solution for upgrading waste containers found in public areas of larger cities. The work begins with a comment on the existing waste management system and investigates user opinions, including gathering information about their needs, which were later used to define the development priorities. Market analysis and existing solutions were also considered. Through the interpretation of needs and the evaluation of defined functions, a morphological matrix was created, offering an overview of partial solutions for individual functions. By combining various solutions from the matrix, concepts were generated, which were then evaluated with the purpose of selecting the final concept for detailed elaboration. In the embodiment and detail design phase, Design for Excellence (DfX) guidelines for design were taken into account to improve aspects of production, assembly, and environmental impact. The final product consists of two modules that fulfill the most basic functionalities required by municipal companies and users. The product is designed to be easily installed on existing containers in Zagreb, without the need for significant modifications. The ultimate solution provides autonomous operation and easy maintenance, and it simplifies the work of municipal companies with a range of features such as waste quantity measurement or automatic user recognition.