In the rapidly progressing landscape of Industry 4.0, ‘digital twin technology’ stands at the forefront of innovation, revolutionizing the way industries operate. Organizations are implementing digital twins to make better strategic decisions based on visions provided by the digital twins, get better perceptions regarding product performance, and user experience, and more.
The impact of digital twin technology is set to expand significantly, with an increasing number of industrial organizations incorporating it with the next decade. As per a document published by Gartner in 2023, the uptake of this tech can be as high as 40% by 2027.
Studies state that Digital Twin technology has the ability to increase the revenue by 10% and improve product quality by 25%. Not just this, but there are more benefits offered by digital twins and below mentioned statistics might let you understand why industries are expanding their reach towards digital twin solutions –
Inaccurate data can cost a fortune. And so will late decisions. Digital twins offer a powerful solution, extending far beyond mere technical assistance.
If we define digital twins, they mean a virtual representation of an object or system designed to replicate a physical object precisely. In other words, a digital twin serves as a proxy for the current condition of anything it represents, via the exchange of data in real-time. Real-time data from digital twin solutions unlock the visibility of current progress or challenges and plans ways to resolve or improve them.
The concept of digital twin was coined way ago and is not new for many organizations. However, it was 2010, when the first practical definition of digital twin was originated from the National Aeronautics and Space Administration (NASA), in an attempt to improve the physical-model simulation of spacecraft.
From its celestial beginnings, the concept of the digital twin started to evolve and transforming industrial sector. It has also permeated most of our daily lives as digital maps on our smartphones, allowing us to navigate our way across the planet with ease, and some fitness bands that collect real-time data of users’ heart rate, temperature, pulse rates, sleep patterns, etc. and offer personalized workout etc.
Just like any other new technology requires thorough understanding before widespread adoption, industries worldwide are actively exploring digital twins. Since the technology is still in the nascent stage, only a few industries like construction, manufacturing, transportation, etc. are aware and embracing this technology.
However, it is rapidly gaining traction across various industries. In the year 2021, the global market of Digital Twins accounted for ~US$ 7.2 Billion, which is expected to cross US$ 92 Billion by 2028, charting a whopping annual growth of 44%. Such rise is majorly due to the benefits digital twin technologies offer to organizations and industries that use them. The pace at which the technology is advancing, and the way it is being incorporated with other trends like Artificial Intelligence, Internet of Things, etc. are the main reasons for its growth.
Here's a concise version of digital twin implementation across a few industries –
Take Xovis’ digital twin system in the form of Passenger Flow Management System (PFMS) for instance. Xovis – a software company offering people flow and people counting solutions, in this April 2024, has deployed a PFMS at a busy checkpoint at Vancouver International Airport (YVR) Canada, to analyse real-time data on passenger flow. This digital twin acts as a virtual replica of security checkpoint allowing optimized staffing, reduced wait times, and an improved passenger flow and travel experience. This is not the first time Xovis has deployed a digital twin, the company has already deployed digital twin solutions in the form of PFMS to more than 110 airports globally.
The logistics industry is also not far behind in reaping the benefits of digital twins. One of the recent examples (April 2024) is Ford’s adoption of digital twins for boosting logistics efficiency. The automobile giant is applying digital twin technology for inbound material flow, integration of real-time location services into transport and yard management, and data management in logistics. The group’s adoption of digital twins will be beneficial in several ways, including improved overall efficiency.
In the world of construction and infrastructure development, the digital revolution is reshaping traditional practices. Digital twin concepts for construction projects promise to add precision and efficiency to the industry. For instance, the National Geospatial Policy (NGP) aims to create digital twins of India’s major cities and towns by 2035, to mirror urban landscape and physical assets. With alignment to this, the Survey of India (SOI) – the national mapping agency or custodian of India’s map, has signed an agreement with an Indian private mapping company, Genesys International, aiming to prepare three-dimensional maps and digital twins of several cities and towns which can be used in a variety of planning applications. The deployment of digital twin technologies will help in traffic planning, and real estate development, and also help in solving environmental challenges like floods, etc. by creating maps and more.
There are a few numbers that underscore the need for organizations to embrace technologies like digital twins, that can provide real-time data before they lead to costly consequences.
95% of major capital projects are delayed or come in over budget, states Accenture.
There are more statistics to state that digital twins today are not just ‘nice-to-have’, but an expectation. Real-time data in context means precise, accurate, and immediate decision-making.
The growth projections from different firms are impressive. For example, the International Data Corporation (IDC) forecasts that by 2027, 35% of G2000 companies will employ supply chain orchestration tools featuring digital twin capabilities, boosting the supply chain responsiveness by 15%. Stratview Research estimates that the global digital twin market will cross a whooping USD 92 billion by 2028, from just ~ USD 10 billion in 2022.
Digital twin as a technology is in a nascent stage, meaning that its widespread adoption is yet to be seen. Its novelty is one of the reasons of a few challenges associated with the digital twin technology. Lack of regulations and standards, lack of trained technicians, inaccurate presentation, data security concerns, etc. are a few challenges to count.
The deeper the industries delve into the capabilities of digital twin technology, the higher the transformative applications and advancements in the years to come. When combined with other technologies including Augmented Reality, Virtual Reality, Additive Manufacturing (or 3D printing), etc. the full potential of digital twin technologies will unlock, opening doors for new applications.
WE ACCEPT
