What are digital twins and how can they improve your productivity?

Let's start with the digital twin definition. Simply put, a digital twin is a virtual representation of a physical object, space, service or system. It's a copy made from code and driven by data from real-world sources, so it updates and changes as the original version would.

Digital twin technology can accelerate innovation, improve efficiency and support smarter decision making. That's invaluable if you want to grow your business, save on costs and even meet sustainability goals.

Here, we'll look at the definition in more detail, including the different types of digital twins, the industries using them and why the digital twin market is expected to be worth USD 110.1 billion by 2028.

What is digital twin technology?

Drawing on the powers of virtual reality (VR), mixed reality (MR) and other emerging technologies, digital twins are helping companies create products, rapidly scale capacity, train employees and bring teams together. They provide a virtual glimpse into the future, revealing outcomes before time, money and resources have gone into making them a physical reality.

Digital twins are more than a 3D visualisation of something in the real world. They rely on sensors placed in key areas of functionality of the physical objects and spaces they replicate. These provide real-time data readings to reflect what's happening in their physical counterparts.

With the data it receives, digital twin technology can create simulations, analyse performance and propose enhancements.

The technology working behind the scenes is extensive. Digital twins rely on:

• Mixed reality (MR): A blend of virtual reality (VR) and augmented reality (AR)
• Machine learning: A branch of artificial intelligence (AI) that uses data and algorithms to imitate human learning
• Generative AI (GenAI): Rapidly analyses data to provide insights, make predictions and suggest alternative approaches
• Internet of Things (IoT): A network of physical devices with sensors and software that allow them to share data without human intervention
• Cloud computing: On-demand computing services accessed over the internet.

What is digital twin software used for?

Digital twin software has a wide range of use cases in many different industries:

• Automotive: They help manufacturers develop and test vehicles, and even predict maintenance tasks to save costs. The technology generated USD 2.17 billion in 2022 and is expected to generate USD 34.58 billion by 2032.¹
• Construction: Contractors use digital twins to plan buildings, optimise design and recreate workflows to identify hazards and minimise safety risks. The global digital twin market in construction, engineering and architecture is expected to grow at a compound annual growth rate of 36.9% from 2023 to 2028.² See how VR is rebuilding the construction industry.
• Energy: Usage data from energy meters is fed to digital twins, helping providers better manage demand. The companies can use digital twin technology to predict usage surges and prepare accordingly. The industry's digital twin market is expected to grow at 32.5% compound annual growth rate from 2022 to 2027.³
• Healthcare: A wide range of digital twins are used in the healthcare sector, from replica patients and organs to hospitals and equipment, and even drugs for testing. The technology generated USD 1.6 billion in 2023, a figure that's expected to rise to USD 21.1 billion by 2028.⁴
• Manufacturing: At the forefront of digital twin adoption. According to the Manufacturing Leadership Council, 58% of manufacturers already use digital twins. As the industry is filled with early adopters, the compound annual growth rate is relatively low, at 16.5% from 2021 to 2030.⁵
• Aviation: Digital twins are innovating the airport experience like never before. For example, by 3D mapping their entire facility, the team at Vancouver International Airport are able to identify congestion points, decide where to send additional support at check-in and security gates, and predict behaviours during irregular operations.

Types of digital twins

Digital twin technology generally falls into one of four types:

Component digital twins

The smallest possible digital twin. Component twins replicate a single part of a product or asset. Sometimes they're broken down into even smaller 'part twins'. They provide insight into how parts interact with the whole. Combined component digital twin studies give you a full analysis of predicted performance and where the weak links might be.

Product digital twins

Also known as an asset twin, product twins bring together two or more component twins to help understand how they interact with each other,producing new insights.

System digital twins

The result of combining two or more product twins. By studying the relationship between products or assets, you can begin to understand whole systems of work – for example, an aircraft fuel system – and make more informed optimisations.

Process digital twins

Digital twins at the highest level. Process twins bring together two or more systems to recreate entire warehouses or manufacturing lines. The large-scale replicas influence decisions at the highest level for maximum business impact.

Digital twins vs simulations

At first glance, digital twins and simulations appear very similar. The differences lie in data.

Static vs evolving models

A simulation is a 2D or 3D virtual model made using computer-aided design (CAD). Designers replicate a specific part or parts of an object or process to test their performance. If businesses want to make changes to a simulation, they need to do so manually, either at the start of the process or by adding them later.

Digital twins, on the other hand, evolve over time. They replicate what's actually happening to their physical counterparts using real-time data. Through machine learning, the models 'self-optimise' to help their physical counterparts work better. The matured digital twin then generates new data to help businesses monitor performance over a longer period.

Theoretical vs actual feedback

Simulations are as accurate as they're designed to be. Perhaps they replicate a chemical process while using a set temperature, or a production line with conveyor belts set to a fixed speed. Both of these could make a simulation inaccurate compared to real-world performance.

Digital twins, on the other hand, use real-time data to replicate what's happening to a physical object or space. This gives businesses a comprehensive idea of how their systems are working – ultimately, allowing them to make better-informed decisions.

Digital twins vs virtual twins

Mixed reality helps businesses to experience digital twins in the third dimension, but virtual twins and digital twins aren't necessarily the same thing.

For a twin to be virtual, it must be immersive: an environment that can be experienced in virtual reality; whether it's a static or an evolving model doesn't affect the definition.

For a twin to be digital, the model must evolve with real-time data. This could be presented both virtually or through conventional 2D screens. Digital twin technology doesn't tend to focus on immersing the user. It's data-driven, enabling organisations to engage with digital replicas to analyse, predict and gain insights.

What are the benefits of digital twins?

Here are some of the reasons why organisations might want to consider investing in digital twin technology:

• Greater efficiency: Digital twin technology simplifies complex information and processes to help decision-makers identify bottlenecks and develop solutions. The more data sources businesses have in their digital twin, the more processes can be fine-tuned.
• Sustainability: Digital twins can track, manage and minimise emissions, as well as identify opportunities for optimisation and energy savings. Capgemini research found that 57% of organisations believe digital twin technology is critical to improving sustainability efforts.
• Better team collaboration: Workplace systems are often managed by siloed teams. By mapping out their role in entire processes, businesses can identify areas to bring teams together. Whether it's preventing the doubling up of work, or supplementing one system with another, digital twins help operations teams make the most of their resources.
• Risk-free training: Digital twinning is being used to train workers using simulated scenarios. Employees can get hands-on experience of different situations and different machinery without any risk to their safety. If the machinery or process changes, the digital twin can be modified to reflect those changes.
• Improved processes: Real-time data allows businesses to optimise the processes behind their products and services. GE predicts that digital twins of wind farms could increase energy production by up to 20%.⁶
• Better products: Companies that already use digital twins report an improvement in product quality of up to 25%.⁷ As they're powered by data, the virtual replicas allow engineers and designers to make better-informed decisions during the design stage.
• Greater customer satisfaction: Through digital twins, businesses can carry out predictive maintenance to minimise disruptions to their products and services. They can also collect real-time data on customer behaviour to track product use and offer more efficient customer service and repairs.
• Faster to market: Digital twins are accelerating the time it takes to get a product to market by 50%.⁸ Speedy production times are made possible as businesses rely less on physical prototypes and the time and resources needed to make them.
• Earlier risk assessment: Digital twins allow businesses to test for potential risks during the earlier phases of a process. Whether it's identifying gaps in a supply chain before a demanding period, or unearthing weaknesses in a building's design before shovels are in the ground.
• Cost saving: Despite the initial outlay, digital twins have proven to save businesses money in a short period of time. Back in 2018, General Electric shared that the technology had saved their customers USD 1.05B.⁹

Discover how Meta Horizon managed solutions can scale your organisation with virtual and mixed reality. Learn how you can use VR and MR to build the future of work and education with our success stories. Getting started is easy, please

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¹ "Digital twins in automotive market to reach USD 34.58 billion, globally, by 2032 at 32.6% CAGR: Allied Market Research" Allied Market Research, accessed 30 May 2024, https://www.prnewswire.com/news-releases/digital-twins-in-automotive-market-to-reach-34-58-billion-globally-by-2032-at-32-6-cagr-allied-market-research-301897785.html.
² "Digital twin in construction, engineering, & architecture market" Global Market Estimates, accessed 30 May 2024, https://www.globalmarketestimates.com/market-report/digital-twin-in-construction-engineering-architecture-market-4145.
³ "Metaverse/digital twin in energy industry market" Global Market Estimates, accessed 30 May 2024, https://www.globalmarketestimates.com/market-report/metaverse-digital-twin-in-energy-industry-market-3750.
⁴ "Digital twins in healthcare market size, share & trends by component (software, services), application (personalised medicine, drug discovery, medical education, workflow optimisation), end user (providers, research & academia, payers), and region – Global Forecast to 2028" markets and markets, accessed 30 May 2024, https://www.marketsandmarkets.com/Market-Reports/digital-twins-in-healthcare-market-74014375.html.
⁵ "Digital manufacturing market size, share, competitive landscape and trend analysis report by component, technology and application: Global opportunity analysis and industry forecast, 2021-2030" Allied Market Research, accessed 30 May 2024, https://www.alliedmarketresearch.com/digital-manufacturing-market-A11759.
⁶ "GE launches the next evolution of wind energy making renewables more efficient, economic: the digital wind farm" GE, accessed 30 May 2024, https://www.ge.com/news/press-releases/ge-launches-next-evolution-wind-energy-making-renewables-more-efficient-economic.
⁷ "Digital twins: The key to smart product development" McKinsey & Company, accessed 30 May 2024, https://www.mckinsey.com/industries/industrials-and-electronics/our-insights/digital-twins-the-key-to-smart-product-development.
⁸ "GE launches the next evolution of wind energy making renewables more efficient, economic: the digital wind farm" GE, accessed 30 May 2024, https://www.ge.com/news/press-releases/ge-launches-next-evolution-wind-energy-making-renewables-more-efficient-economic.
⁹ "Digital twins: The key to smart product development" McKinsey & Company, accessed 30 May 2024, https://www.mckinsey.com/industries/industrials-and-electronics/our-insights/digital-twins-the-key-to-smart-product-development.