The high rate of evolution of digital technologies is reshaping the industries all over the world, and one of the greatest innovations which contribute to this process is the idea of Digital Twins. Digital twins are virtual representations of a physical thing, process, or system that enable real-time monitoring, simulation, and optimization. Digital twins are not only increasing the efficiency of operations in the Industry 5.0 context but also enable collaboration between human and machine and contribute to sustainability. Digital twins allow predictive maintenance, optimization of processes and real-time monitoring by offering a dynamic and detailed virtual representation of physical systems, and thus can potentially increase the quality of products, minimize downtimes and facilitate customization. The chapter discusses the idea of using digital twins in smart environments, their architecture, uses, advantages, and disadvantages of digital twin implementation to find how it is an essential part of the future of manufacturing and industries in general.