A digital twin in manufacturing mirrors something real: a motor, a production line, a whole factory or the process that runs inside it. Unlike a drawing or a static simulation, the digital twin keeps receiving data from its physical counterpart. That connection is what turns a digital model into a tool for decisions: you can see what happens on the shop floor, test changes before you make them and predict what will happen next. For the manufacturing industry, digital twins offer a way to connect engineering, manufacturing operations and service around the same data.
- Definition: a virtual representation of a physical asset or process, connected to it by data
- Typical scope: component, asset, system or process
- Data sources: sensors, PLCs, MES, ERP, CAD and engineering tools
- Standard for interoperable twins: the Asset Administration Shell (AAS)
- Main use cases: virtual commissioning, predictive maintenance, quality, energy and sustainability, product passports
What is a digital twin?
A digital twin is a virtual replica, or digital representation, of a physical object or process that is updated with data from the real world. It combines three elements: the physical asset, its digital model and the data connection between them. The model can be as simple as a set of structured properties or as complex as a physics-based simulation. What makes it a digital twin is that it reflects the current state of the real asset and changes with it.
Researchers often separate three levels. A digital model has no automatic data exchange with the real object. A digital shadow receives data from the asset in one direction. A digital twin exchanges data in both directions, so insights from the digital side can flow back and influence the physical one, for example by adjusting machine parameters. In everyday industrial language, all three are often called digital twins, which explains why definitions vary so much.
The concept of digital twins is not new. NASA used physical and later digital copies of spacecraft to analyze problems remotely, and the term digital twin became popular in manufacturing in the 2010s together with Industry 4.0. What has changed is the cost of sensors, connectivity and computing, which makes digital twin technologies practical for every manufacturing facility, not only for aerospace projects, and a core building block of digital transformation.
How digital twins work in manufacturing
To create a digital twin, a manufacturer collects data from the systems that already exist in the manufacturing environment and organizes it around the asset. Sensors deliver measurements such as temperature, vibration or energy use. Controllers and SCADA systems provide machine states. MES and ERP systems contribute orders, batches and maintenance records. Engineering tools add CAD models, bills of material and documentation.
This data needs a common structure and a reliable transport. On the shop floor, OPC UA and MQTT move live data. For the content of the twin, the Asset Administration Shell provides a standardized format, so that the digital twin of a component from one supplier can be read by the software of another. Processing happens at the edge, close to the machine, or in the cloud, depending on latency and data volume. Analytics, simulation and machine learning then turn digital twin data into answers, and digital twins can predict what is likely to happen next: Is the bearing wearing out? Will the new product variant fit into the line? How much energy did this workpiece consume?
What are the four types of digital twins?
A common classification sorts digital twins by the scope of what they represent:
| Type | What it represents | Example |
|---|---|---|
| Component twin | A single part or sensor | A pressure sensor with its nameplate, calibration data and measured values |
| Asset or product twin | A device or product made of components | A pump, a robot or a bicycle with all its parts |
| System or unit twin | Several assets working together | A production line or a filling machine |
| Process twin | A complete process or factory | The production flow of a plant, including orders, material and energy |
The levels build on each other. A process twin is only as good as the data from the system, asset and component twins below it, which is why standardized data at the component level matters so much.
Applications of digital twins in manufacturing
Digital twin technology in manufacturing covers the whole product lifecycle and every step of the manufacturing process. These are the digital twin use cases used in manufacturing today:
- Product development and virtual commissioning: engineers test a machine or line in the digital twin before it is built, which reduces commissioning time on site.
- Predictive maintenance: sensor data from the twin reveals wear before a failure occurs. See condition monitoring for the underlying methods.
- Quality and process optimization: the digital twin links process parameters with quality results and shows which settings produce scrap.
- Energy and sustainable manufacturing: in the OI4 Energy Monitoring project, members track energy and compressed air consumption per workpiece on two pilot machines, as a basis for CO₂ footprints and energy-aware pricing.
- Digital Product Passport: the twin of a product becomes the source for its Digital Product Passport, including materials and carbon footprint.
- Training: digital twins for training let operators practice changeovers and fault handling on a virtual line before they work on the real one.
- Commissioning and service: technicians scan a QR code and see the documentation, spare parts and history of the exact machine in front of them.
What are the main benefits of digital twins in manufacturing?
The benefits of using digital twins depend on the use case, but they fall into a few groups. Digital twins help reduce unplanned downtime because problems become visible early. Digital twins enable shorter engineering and commissioning because errors are found in the model, not on the shop floor. A digital twin provides one consistent view of an asset for everyone who works with it. They improve quality because process data and results are connected. And they create transparency across the supply chain, which regulation increasingly demands.
The economic value is harder to put into numbers than the technology. The OI4 project Exploring the Economic Value of Digital Twins addresses exactly this gap. Its members built a library of economic potentials for interoperable, AAS-based digital twins, applied it to two use cases and developed a calculation method with KPIs that companies can use in their own context.
Why interoperability decides whether a digital twin scales
Many a digital twin solution works well inside one vendor’s ecosystem and fails at its border. The integration of digital twins across companies is where most projects get stuck. A machine builder who receives components from dozens of suppliers cannot maintain a different integration for each of them. The same applies to operators running machines from different builders. Without a shared structure, every digital twin becomes an island, and the effort grows with every new partner. This is a classic case of vendor lock-in.
The Asset Administration Shell solves this by standardizing how a digital twin is structured and accessed. At the “Follow the Twin” challenge at Hannover Messe 2024, OI4 members provided product data in AAS format through two independent repositories, and visitors could retrieve it consistently, regardless of vendor or backend. Members of the OI4 Component Supplier workgroup also built Twinsphere, an AAS-based platform that gives medium-sized manufacturers access to digital twins, product carbon footprints and VDI 2770 documentation.
The OI4 Digital Twin workgroup works on the integration and management of interoperable digital twins, and since 2023 a liaison agreement connects OI4 with the Digital Twin Consortium to align technology components across both communities.
How to implement a digital twin in manufacturing
- Start with a question, not a platform. Choose a problem with a measurable result, for example unplanned stops on one machine or manual data entry at goods-in.
- Use the data you already have. Most factories have more data than they use. Connect existing controllers and systems before adding new sensors.
- Agree on a structure early. Build your digital twins on the AAS and its submodel templates, so that the next use case and the next partner can reuse the data.
- Plan for brownfield. Older machines often lack standard interfaces. Retrofit sensors and edge devices bridge the gap.
- Scale step by step. Move from one asset to a line, then to the plant. Digital twin development and digital twin modeling with simulation or AI come once the data foundation is reliable.
Challenges when implementing digital twins
The OI4 energy monitoring project lists the obstacles that many manufacturing companies face: machines from different vendors and generations, missing standard interfaces on legacy equipment, limited protocol support, integration with existing IT systems, incompatible networks and the effort of retrofitting sensors in a running production. Security is another factor. A digital twin that can change machine parameters needs the same protection as the machine itself, which links digital twins to OT security. Finally, a digital twin needs owners. Without clear responsibility for data quality, the twin drifts away from reality and loses its value.
The future of digital twins
Three developments shape the future of smart manufacturing with digital twins and digital twin-based services. First, regulation: the Digital Product Passport and the EU Data Act require structured, shareable product data, which turns digital twins from a nice-to-have into infrastructure. Second, data spaces such as Manufacturing‑X let digital twins cross company borders under clear usage rules. Third, AI: agents that monitor a plant, order material or schedule maintenance need structured, reliable data to act on, and a standardized digital twin is exactly that.
Frequently asked questions
What is a digital twin in simple terms?
A digital twin is a living digital copy of something real, such as a machine or a production process. It receives data from the real object and shows its current state, so you can monitor, analyze and simulate it without touching the physical asset.
Can you give an example of a digital twin factory?
A typical example is a production line where every machine has a digital twin that reports its state, energy use and maintenance needs. The line twin combines them, shows bottlenecks and lets planners test a new product variant virtually before changing the real line.
Is digital twin technology still relevant in manufacturing?
Yes, more than before. Regulation such as the Digital Product Passport, the need for energy transparency and the rise of industrial AI all depend on structured, up-to-date asset data. Digital twins can help manufacturers provide that data in a consistent form.
What is the difference between a digital twin and a simulation?
A simulation models how a system could behave under assumed conditions. A digital twin is connected to a real asset and uses its actual data. Simulations are often part of a digital twin, but without the live connection they remain models.
How is a digital twin related to the Asset Administration Shell?
The digital twin is the concept. The Asset Administration Shell is the international standard for implementing it in industry, so that digital twins from different manufacturers share the same structure and can be exchanged.
