Relations of Digital Twin Fidelity and Benefits: A Design-to-Value Approach

Abstract

Digital Twin (DT) is an important concept in research and practice. Its relevance spans across all product life cycle phases, including design, prototyping, manufacturing, service, and disposal. Despite its attention, practical examples of DTs in product design and manufacturing are scarce. One of the reasons for this is little understanding of the benefits. Organizations face problems in predicting whether applying DTs will achieve benefits. However, realistic benefit expectations and a qualitative understanding of the evolution of benefits are essential for successfully applying DTs. Fidelity is thereby a crucial factor influencing costs and savings potential. Consequently, the Digital Twin Benefit Curves (DT-BC) were developed using Design Science Research while drawing on existing literature. Results were evaluated in a focus group with 5 DT experts from 3 different aerospace and automotive OEMs and 1 university, along with additional interviews. The developed curves serve as a reference for managerial decisions concerning DT design and application. Additionally, they strengthen the understanding of DT benefits and prevent stakeholders from developing false expectations that lead to acceptance issues. By doing so, DT-BCs facilitate Digital Transformation. The results provide a novel approach to make DT benefit evolution clear and tangible by visualizing its relation to fidelity.