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Digital manufacturing has been considered, over the last decade, as a highly promising set of technologies for reducing product development times and cost as well as for addressing the need for customization, increased product quality, and faster response to the market. This paper describes the evolution of information technology systems in manufacturing, outlining their characteristics and the challenges to be addressed in the future. Together with the digital manufacturing and factory concepts, the technologies considered in this paper include computer-aided design, engineering, process planning and manufacturing, product data and life-cycle management, simulation and virtual reality, automation, process control, shopfloor scheduling, decision support, decision making, manufacturing resource planning, enterprise resource planning, logistics, supply chain management, and e-commerce systems. These technologies are discussed in the context of the digital factory and manufacturing concepts.

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