Given the multiple varieties and small batches, the production of industrial robots faces the ongoing challenges of flexibility, self-organization, self-configuration, and other “smart” requirements. Recently, cyber physical systems have provided a promising solution for the requirements mentioned above. Despite recent progress, some critical issues have not been fully addressed at the shop floor level, including dynamic reorganization and reconfiguration, ubiquitous networking, and time constrained computing. Toward the next generation production system for industrial robots, this study proposed a hybrid architecture for smart assembly shop floors with closed-loop dynamic cyber physical interactions. Aiming for dynamic reorganization and reconfiguration, the study also proposed modularized smart assembly units for the deployment of physical assembly processes. Enabling technologies, such as multiagent system (MAS), self-organized wireless sensor actuator networks, and edge computing, were discussed and then integrated into the proposed architecture. Furthermore, a multijoint robot assembly process was selected as a target scenario. Thus, an MAS was developed to simulate the coordination and negotiation mechanisms for the proposed architecture on the basis of the Java Agent Development Framework platform.