The world progresses toward Industry 4.0, and manufacturers are challenged to successfully navigate this unique digital journey. To some, digitalization is a golden opportunity; to others, it is a necessary evil. But to optimist and pessimist alike, there is a widespread puzzlement over the practical details of digitalization. To many manufacturers, digital transformation is a vague and confusing concept they nevertheless must grapple with in order to survive the Fourth Industrial Revolution. The proliferation of digital manufacturing technologies adds to the confusion, leaving many manufacturers perplexed and unprepared, with little real insight into how emerging technologies can help them sustain a competitive edge in their markets. This book effectively conveys Siemens's knowledge and experience through a concept called "Smart Digital Manufacturing," a stepwise approach to realizing the promise of the Fourth Industrial Revolution. The Smart Digital Manufacturing roadmap provides guidance and enables low-risk, high-reward adoption of new manufacturing software technologies through a series of tipping-point investment decisions that result in optimized manufacturing performance. The book provides readers with a clear understanding of what digital technology has to offer them, and how and when to invest in these essential components of tomorrow?s factories. Rene Wolf is Senior Vice President of Manufacturing Operations Management Software for Siemens Digital Industries Software, a business unit of the Siemens Digital Factory Division. Raffaello Lepratti is Vice President of Business Development and Marketing for Siemens Digital Industries Software.