The transformation is happening through digital manufacturing and design (DM&D)a shift from paper-based processes to digital processes in the manufacturing industry.as technology is having a huge impact on the ways products or services are designed & manufactured. Ever increasing customer demands for newer products with better features is transforming the dynamic of manufacturing towards embracing digital technology. Mass customization of products and services is preferred over mass production. There is an increased pressure upon businesses to serve an individual customer at a competitive cost comparable to the mass production cost, with shortest possible development time and production by focusing on levels of customization, quality and performance along with competitive price and value. With the advancements made in Information Technology, Material Science, Production Technologies and Supply Chain Strategies for the past 50 years' manufacturers are well positioned to challenge the traditional methods the products are designed and manufactured. Digital manufacturing and design encompasses visualization, manufacturing simulation, ergonomic and human factor analyses, holistic view of product and process design, development and product design sensitive to the process constraints and capabilities. The next stages of the new era and next Industrial Revolution termed as INDUSTRY 4.0. This article is all about defining a transformational shift from conventional methods of manufacturing to Digital Manufacturing adopting factors like Digital Thread, Advanced Analysis, Intelligent Machining, Security in Manufacturing, Model based system Engineering and reconfigurability in manufacturing systems etc