The future of manufacturing: How digital twins are driving Industry 4.0 forward

Faster product launches, increased flexibility in production, increased independence from skilled workers and resources as well as faster response options and adjustments to market changes: These added values are leading to digital twins becoming established in more and more business processes in industry, particularly in manufacturing, and accelerating the digital transformation. Digital twins are also a key technology and the heart of the industrial metaverse, which is playing an ever more important role in the competitiveness of companies in Germany. Innovations, expanded cooperation, integration and new business areas.

Digital twins are currently used in manufacturing, particularly in remote monitoring, production monitoring and optimization, predictive maintenance, quality control, product development and product design. Within these value chains, they enable continuous analysis of the production line. This allows companies to quickly identify and eliminate bottlenecks and inefficiencies as well as deviations from quality, detect potential failures at an early stage and take maintenance measures before production stops.

In April 2023, the digital association Bitkom e.V. published the results of a survey of 603 companies on digital twins (in German only). According to the results, 66% of the companies surveyed are already using digital twins, are planning to do so or can imagine doing so in principle. According to Bitkom, 63% of the industrial companies surveyed are also of the opinion that "digital twins are indispensable in order to survive in international competition". Various application scenarios show why the importance of digital twins will continue to increase in the future and what contribution they can make to business success.

IoT and AI are driving the evolution of digital twins

The concept of the digital twin has evolved considerably in recent years. While digital twins were originally just digital models and copies of real states, today they are dynamic, data-driven models that enable real-time monitoring, simulation and optimization of production and products. They can - but do not have to - be used together with the asset administration shell (AAS), which ensures the necessary interoperability in industrial processes. The drivers behind the evolution of digital twins are, on the one hand, the pressure of international competition, which places greater demands on flexible and highly efficient production. On the other hand, advances in technology and infrastructure are paving the way for further developments and innovations.

The Internet of Things (IoT) is leading to an increasing spread and improvement of technologies for data collection and networking of machines with each other and with communication devices such as tablets and smartphones. The data is displayed on cloud-based platforms. Equipping machines with communication-capable sensors has increased the number of devices and processes that send and receive data, as well as the quantity and quality of data available to digital twins. Digital twins also benefit from artificial intelligence (AI) and machine learning. These technologies allow "big data", i.e. large volumes of data, to be evaluated efficiently. They form the basis for precise predictions and optimization of processes and machines.

Application scenarios for digital twins in the future

Digital twins are an important building block in software-defined manufacturing (SDM). They can already be used in various new manufacturing applications and will become increasingly useful in the future. This is shown by these examples:

1. Control and monitoring of autonomous production systems

Digital twins play a central role in the control and monitoring of autonomous production systems. The digital twin mirrors and collects the current data of the machines and processes, monitors operation in real time, detects anomalies and deviations and makes suggestions for optimization that can be implemented in reality and have an impact on reality. For example, if a machine shows signs of wear, the digital twin can recommend preventive maintenance and also carry it out directly by adjusting the production plan accordingly. The digital twin acts as a control center that coordinates and controls the robots, machines and processes in real time.

2. More sustainability and better energy and resource management

Digital twins are used to optimize energy consumption and manage resources. They can simulate various scenarios and indicate where energy requirements can be sensibly reduced and resources used efficiently. This leads to three major benefits: lower energy costs, more sustainable production through reduced environmental and waste impact and optimized use of resources. Read more: How digital twins make the circular economy go round

3. Innovations, expanded cooperation, integration and new business areas

Digital twins enable seamless integration of supply chains, suppliers and partners. This promotes collaboration and coordination across company boundaries. The benefits lie in improved supply chain efficiency, increased transparency and traceability. The simulation and analysis of production processes and products leads to shorter development cycles. New ideas and technologies can be tested and optimized in the digital twin without risk and without using material before they are transferred to real production. This enables companies to bring new products to market faster. The ability to test and simulate processes and products virtually promotes a company's ability to innovate.

4. Tailor-made, customer-specific production

Digital twins can change both production and the product. In production, they enable flexible adaptation to changing production requirements. Companies can react more quickly to market changes and adapt their production lines accordingly. Software-centered production is possible with digital twins. This means that product variations can be implemented at software level instead of hardware level and can therefore be scaled at any time. New or different customer wishes and requirements can be integrated into the digital twin at any time and customized products can be developed and produced in real time.

5. Digital twins at the heart of the Industrial Metaverse

In the Industrial Metaverse, digital twins enable an immersive and interactive environment in which physical and virtual worlds merge. This promotes innovation and leads to improved efficiency and productivity. Digital twins are at the heart of the Industrial Metaverse precisely because they provide a precise and dynamic digital representation of physical objects, systems and processes, enabling simulations and bidirectionality.

From the field: Better software-defined manufacturing

There are different digital twins. We use bidirectional digital twins. They are able to receive data in real time and can send data back to reality. This approach accelerates the transformation to software-defined manufacturing: The hard-coded store floor is being transformed into a software-defined one, and the classic automation pyramid is being replaced by intelligent, capability-based production modules. By using networked microservices, we control production and replace the traditional PLC. Digital twins provide a real-time representation of production systems and processes, enabling informed decisions based on current data. This allows us to offer value stream control for each individual product - something that is often not possible with traditional technologies.  

Two examples: Together with a research association, we have shown how digital twins help save up to 29.5% energy in mechanical engineering if the dosing of cooling lubricants were based on a digital twin.  The project also shows the potential for optimization through the combination of various measures, such as retrofitting, digital twins and data science.  

We successfully introduced digital twins at our customer BMW's Innovation Hub in Dingolfing (Bavaria) (detailed description: How BMW is testing the factory control of the future with digital twins). The main focus here was on optimizing control and monitoring. An arrangement on a test track shows the interaction of the real store floor with digital twins, which fulfill several functions: They are executed directly as IT services that control the system, they interact with each other and influence production and they provide comprehensive company-wide information on production and logistics processes and product realization.