In manufacturing businesses, productivity and cost savings are two important parameters. Technology ease out the load, increase efficiency and mitigate the financial pressure. Modern manufacturing is characterized by high level of automation and technology-driven processes. This digitization of manufacturing has given rise to Industry 4.0where cyber-systems, connectivity and data are the key. In this paper we attempt to highlight how each step in the manufacturing process can be changed and made more efficient with the help of technology. To reinforce this fact, examples of various companies have been mentioned which have transformed their supply chains with the help of technology. To better understand this transforming phase in manufacturing industry, we analyzed the role of artificial intelligence in industries, the major issue in implementation of artificial intelligence in manufacturing units, possible ways to overcome these issues and what are the different tasks that can be handled easily with implementation of AI in manufacturing units. With the help of this paper, the reader will get a holistic view of the transforming manufacturing trend and its associated applications in the real world. Certain challenges in the current fourth industrial revolution of manufacturing have also been identified upon which actions can be taken to further improve productivity, cost savings and efficiency.