The Ultimate Guide To Digital Twin Applications In Supply Chain

Digital Twin Applications

Digital transformation is fast-taking over many operations in different fields, including healthcare, sales, logistics, manufacturing, retail, etc. One of the top components of digitization is the introduction of digital twins supply chain. At the moment, the digital twin technology remains a subject of massive research and financial commitments, but the industries that are embracing, at least to the smallest percentage, can attest to its benefits. This is all possible, courtesy of GIS technologies, cloud computing, logistics in the IoT sensors, artificial intelligence, and smart APIs. Monitoring customer and demand behaviors and trends, analyzing anomalies and unplanned situations, and coming up with viable action plans are a few of the many perks you can enjoy by embracing digital twin technology. Still, you may wonder what digital twins are and which cases have benefited from them? ( Read this blog to get the answers to these questions and to know other things about this aspect of digitization and about Digital twin applications. 

Understanding Digital twin applications technology

First things first, you need to understand what Digital twin applications in supply chain mean. Simply put, it is a technology that virtually simulates an actual system using a model and real-time and historical data, then using the information to predict anomalies and unique challenges and designing action plans to mitigate them. Sales orders, data that are prepared and released to the world, demand and supply, as well as pending approvals are a few of the sources of data used in digital twin technology. Besides, the Internet of Things (IoT) such as sensors, vendor information such as invoices and bills, logistics and transformation database, user experience as in online reviews and comments, and operations database also provide the data needed for digital twin technology.

What makes Digital twin applications technology in the supply chain unique

Since many models exist, one may wonder what makes digital twins in the supply chain outstandingly unique. One thing is that this technology has stood the test of time. It has evolved over the years, since when it heavily relied on pencil drawing, then slowly moved to computer-aided designs (AutoCAD), before finally becoming software solutions. Besides, digital twin technology relies on past and real-time data for modeling, increasing its accuracy and precision. From user experience to vendor information to logistic/transformation and operational database, this technology can get its data. Yet, having a wider base of sourcing data increases the success rate of any model. 

What are the tech enablers of digital twin technology?

As mentioned in the previous paragraph, the current digital twins in the supply chain are a result of cumulative efforts over the years. As of now, logistics and transportation systems are the biggest beneficiaries of digital twins, where they use it to track data from drivers and lorries and use the data for simulation. All this is possible, thanks to the tech-enablers of digital twins such as;

  • GIS; you definitely need the Global Positioning System (GPS) and Global Information Systems (GIS) for tracking shipment on transit
  • IoT technology; the Internet of Things (IoT), is yet another big player in seeing today’s digital twins, primarily because the sensors used for tracking shipment are IoT-enabled
  • AI: artificial intelligence has become a tech-enabler in many industries, including healthcare, retail, sales, manufacturing, and security, and is definitely useful in automatic processes in digital twin technology
  • Cloud computing; digital twin technology is a field of immense research that accumulates massive amounts of data, and it’s only the unlimited cloud computing space that meets its data storage needs while still providing information in real-time
  • Open APIs; most developers rely on strict and proprietary data, but open APIs use a different approach, making use of the public data without unnecessary restrictions

The tech-enablers above will be critical for every step of actualizing digital twins in a supply chain of your own company. May fields have benefited from this technology, but logistics and transportation services are the chief beneficiaries of this fast-changing technology. As you prepare to introduce digital twins in your operations, be ready to embrace the above technologies since they are part and parcel of digital twinning. 

What benefits come with implementing digital twin technology?

It’s always critical to know if your investment is worth your penny. As such, many people want to know the benefits of adopting digital twins in the supply chain. There are many perks to this technology, and below top the list of benefits;

  • Digital twin technology gives supply chains better analytical power, enabling them to analyze situations better based on past failures
  • Digitally twinning your supply chain operations allows you to visually reflect on real-life situations in your chain since digital twin technology is a model that visually simulate situations
  • It helps your brand take a proactive approach; the reactive approach is commonplace yet not the best since it waits for problems to occur, after which it looks for a solution. Contrarily, being proactive allows an organization to think ahead of problems and block the loopholes that leave leeway 
  • Digital twin technology also enables remote diagnostics whereby an organization has control over operations and risks of certain things, including shipments, as in IoT for logistics and transportation systems
  • There is efficiency and cost reduction with implementing digital twins in your supply chain; you can see risks ahead of time, mitigate them, and predict future action plans, all of which improve operations and make them more efficient.

Cases of digital twins in real-life situations

As mentioned, some many industries and fields have embraced digital twin technology, at least in the smallest percentage, and can attest to its advantages. Such fields/industries include;

  • Some industries with supply chains have used digital twins to improve inventory management by simulating how altering certain aspects of production can affect client behavior
  • Manufacturing companies have used digital twin technology in packaging to predict how various shapes of packaging bags affect the safety of products and customer response
  • Planning and transportation fields have used digital twinning technology to predict how certain routes with specific characteristics would affect shipments


Digital transformation has a lot to be desired, and the digital twin technology is one of its aspects that awe many people. Logistics and transportation systems are already benefiting from this technology, and other fields can equally embrace it. For instance, digital twins in the supply chain will help businesses predict future risks and develop the right course of action to be taken, helping them become more proactive.


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