<![CDATA[Digital transformation has become a strategic imperative for educational institutions worldwide, yet its adoption within Islamic educational institutions in Pakistan remains limited and under-researched. This study examines the opportunities and managerial challenges associated with digital transformation and tests its effect on institutional performance. Grounded in the Technology Acceptance Model and the Technology–Organization–Environment framework, a quantitative, cross-sectional design was adopted. Data were collected through a structured questionnaire from 305 administrators, teachers, and academic staff working in Madaris, Islamic universities, and Islamic schools, using a five-point Likert scale. Descriptive statistics, reliability analysis, Pearson correlation, and multiple regression were performed using SPSS. The results indicate that digital transformation, technological infrastructure, and managerial support significantly and positively predict institutional performance, while managerial challenges exert a significant negative influence. Together, the predictors explained 56% of the variance in institutional performance. The findings suggest that digitalization improves educational quality, administrative efficiency, accessibility, and competitiveness, but its benefits are constrained by resistance to change, limited digital competency, financial constraints, and inadequate infrastructure. The study contributes context-specific evidence for educational technology management in faith-based institutions and offers practical guidance for policymakers and administrators.]]>
