Digitalization of Hydraulic Design in Italian Manufacturing
The push toward digitalization in Italian manufacturing is real but uneven. The adoption of enabling technologies—IoT (Internet of Things), data management, and AI (Artificial Intelligence)—is growing, while skill gaps and limited diffusion among SMEs remain.
According to the IoT Observatory of Politecnico di Milano, in 2024 the Italian IoT market reached €9.7 billion (+9% YoY) with 155 million active connected devices. This shows that data collection and integration in industrial processes are progressing and enabling use cases of monitoring and optimization even on the shop floor.
On the “digital capabilities” front, ISTAT reports that in 2024 8.2% of Italian companies with at least 10 employees use AI techniques (one third among large enterprises). This figure is rising but still below the EU average, a sign of how digital maturity—and indirectly, readiness to capitalize on design and test data—is evolving.
The State of the Italian Fluid Power Industry
In 2023 the Italian hydraulic sector (oleodynamics) still grew, reaching a turnover of €3.794 billion (+3.3% vs 2022). But in 2024 domestic demand cooled and signs of a downturn led to a correction in 2025. Analyses presented within FEDERTEC indicate double-digit declines in production and exports for hydraulics, in a context of macroeconomic uncertainty.
Translation: tighter margins, less room for design errors and fewer “throw-away” prototypes.
The Advantages of Digitalization in Design
Digitalizing design is not simply about buying software. It means structuring four mutually reinforcing pillars:
Data & Integration – CAD/CAE models, design parameters, test bench and field data (IoT) all interact, with version control and traceability. The IoT momentum in Italy helps close the loop between real and virtual, creating the product/plant digital twin.
Simulation – Systematic use of numerical techniques to explore and validate design choices: from CFD (Computational Fluid Dynamics) and FEM (Finite Element Method) to lumped-parameter dynamic simulation.
Process – A repeatable workflow: requirement definition → modelling → calibration with data → design space exploration → verification & validation → release.
People & Skills – Bridging the digital skills gap and creating “simulation champions” able to link engineering results to business impacts (costs, time-to-market, quality).
CFD/FEM or Lumped-Parameter Models? (Spoiler: Often “and”, not “or”)
Lumped-parameter dynamic simulation is ideal for analyzing the overall behavior of hydraulic systems and components—pumps, proportional and on/off valves, actuators, lines, volumes and controls. It allows engineers to simulate transients (start-ups, water hammer, disturbance response), subsystem interactions and the dynamics of the entire plant. It is fast, scalable and particularly valuable in the early design phases or for co-simulation with electronic controllers.
At SmartFluidPower, we use the open-source OpenModelica platform together with in-house hydraulic libraries, providing easily configurable components for fluid-power circuits. This approach accelerates design iterations, validates configurations and drastically shortens commissioning times.
CFD (Computational Fluid Dynamics) and FEM (Finite Element Method) come into play when local, 3D details are needed—pressure losses, cavitation or noise phenomena, thermo-mechanical stresses in valve bodies, thermal dissipation. These tools are essential for validating critical geometries and behaviors that depend on shape and materials. They are also often necessary to accurately calibrate the lumped-parameter simulation models described above.
In practice, it is not about choosing one tool at the expense of the other, but about using them complementarily: lumped-parameter models for the system and component dynamics, CFD and FEM for the 3D details of critical components.
The Benefits of Simulation in Design Support
Technical literature and independent bodies are clear:
Fewer prototypes and repeated tests → direct savings on material and workshop costs.
Reduced time-to-market thanks to design space exploration and the ability to anticipate problems digitally.
Higher quality and robustness: systematic model verification and validation reduce technical risk and improve decision reliability.
Controlled simulation rollout: making validated tools available to downstream designers multiplies the benefits—provided they are used following precise rules and verified models.
For Italian fluid-power companies, these benefits concretely mean cutting one or two prototype cycles, gaining greater confidence in line sizing, achieving faster control tuning, and providing more effective technical-commercial support through the use of lightweight models.
Recommended Workflow for Hydraulic Systems
Architecture & Requirements – Define from the outset the use cases such as flow rates, pressures, critical transients and operating cycles.
System Modelling – Use validated virtual libraries for rapid iterations on layouts, logic and controls; calibrate parameters with test-bench or field data.
Local CFD/FEM Zooms – Analyze “bottleneck” components (channels, edges, clearances) only where needed.
Verification & Validation (V&V) – Structured plans to test numerical correctness and compare with experimental data.
Automation & Data – Integrate models, CAD, IoT data and enterprise systems (PLM – Product Lifecycle Management, MES – Manufacturing Execution System) for continuous improvement cycles.
How to Start Digitalizing Design
Sponsorship – A product/engineering manager who measures ROI (avoided prototypes, weeks saved, quality).
Libraries & Standards – Create reusable, version-controlled components for lumped-parameter simulation, with well-defined quality criteria for CFD and FEM analyses.
Toolchain Integration – Connect CAD ↔ CAE ↔ PLM ↔ test bench ↔ MES/IoT.
Skills – Targeted training in system modelling and V&V; initial mentoring on a representative pilot project.
Conclusion: Why Integrating Digitalization into Your Design Pays Off
With markets less buoyant and investment cycles more selective (as the recent trend of the Italian fluid-power sector shows), putting simulation at the core of design is not a tech luxury: it is both a safeguard against costly errors and an accelerator of time-to-market. The technologies and data exist in Italy, and the use cases are mature. The real differentiator lies in process discipline and measurable objectives.
How SmartFluidPower Can Help You Digitalize Your Engineering Department
SmartFluidPower is an innovative SME founded in 2018 as a spin-off of the University of Modena and Reggio Emilia.
Our team blends academic expertise and engineering know-how to bring innovation to hydraulic (fluid power) design.
Companies in the fluid power sector often struggle with simulation software that is too complex, too expensive, or simply not aligned with their real needs.
We decided to change the game.
We work directly with key industry players to develop tailor-made products and services designed to simplify modelling, shorten development times, and improve the performance of hydraulic systems.
Want to know more? Request a free 30-minute consultation.
We provide the software tools to optimize the design of hydraulic components and systems.
We apply the most advanced technologies to tackle your product-design challenges in the fluid power world.
We help you innovate without wasting resources on trial-and-error activities.
MAIN SOURCES
ISTAT – Enterprises and ICT 2024
Politecnico di Milano – IoT Observatory 2024
FEDERTEC / Industry Press – Italian Fluid Power Data 2023–25
NAFEMS & INCOSE – ROI and Best Practices in Simulation and V&V
