Industry 4.0 is on everyone’s lips and is discussed in countless specialist publications. That is good, because Industry 4.0 stimulates thinking about the processes in your own product creation process. Terms such as digital twin, virtual prototype and simulation are in circulation and must be filled with a meaning that is as uniform as possible. In this blog post we would like to give you an overview of the meaning of these terms and build a common understanding. The discussion about Industry 4.0 is by no means aloof and academic. It sums up the industrial application of digital transformation, also in small and medium-sized companies.