Abstract <p>As the digital transformation in industry continues, the role of digital twins is growing at an ever increasing rate. In fact, it may be said that industries failing to use digital twins are squandering their competitive potential. Industrial companies are digitizing their operations with all speed. Many have already created a digital transformation office directed by a СDO (chief digital officer), with the task of creating and utilizing a digital twin of the production process. Digital technology is increasingly employed to manage the business processes of industrial enterprises. Many manufacturing and other processes have been automated or robotized. Digital management is the only feasible option for such processes. Digital twins are fundamental to information technologies designed for production management. In the present work, a definition is proposed for the digital twin of production, its basic functions are systematized, and its practical advantages and disadvantages are identified.</p>