Shape memory alloys (SMAs) are the special materials that have the ability to return to a predetermined shape when heated. When this alloy is in below transformation temperature it undergoes low yield strength and will deform easily into any new shape which it will retain, if this alloy is heated above its transformation temperature it changes its crystal lattice structure which returns to its real shape. SMAs are remarkably different from other materials are primarily due to shape memory effect (SME) and pseudoelasticity which are related with the specific way the phase transformation occurs, biocompatibility, high specific strength, high corrosion resistance, high wear resistance and high anti-fatigue property. SMA are used in many applications such as aerospace, medical, automobile, tubes, controllers for hot water valves in showers, petroleum industry, vibration dampers, ball bearings, sensors, actuators, miniature grippers, micro valves, pumps, landing gears, eye glass frames, Material for helicopter blades, sprinklers in fine alarm systems packaging devices for electronic materials, dental materials, etc. This paper focuses on introducing shape memory alloy and their applications in past, present and in future, also revealed the concept and mechanism of shape memory materials for a particular requirement. Properties of SMAs, behaviour and characteristics of SMA, summary of recent advances and new application opportunities are also discussed.