Digital transformation plays a pivotal role in structuring and enhancing conventional learning methods in higher education institutions. This systematic literature review introduces the current pace of growing technology which is considered the catalyst for innovation. Education sectors have been influenced by the real-life implications of digital transformation which is now considered a novice and useful asset in terms of multifaceted benefits, these benefits have been studied and discussed in this systematic literature review till 2023. The overall composition combines contemporary and novel learning methods and identifies the factors that contribute to regulating the process of learning through digital transformation. To perform this study, research questions are formulated and these questions are properly addressed through an extensive literature review based on findings. It is concluded that RQ1 returns the top-ranking publications, countries, and institutions that contribute in using digital transformation in HEIs in an effective way, for example; HEIS Sustainable Development, Management of Workload in HEIs, Technology impact on Teaching Staff, and HEI’s Digital transformation has gained substantial attention. To answer the RQ2, studies revealed the assessment of the Sustainability consciousness of educators and highlighted impending changes in values and consumer patterns using pedagogical technology. The last RQ3 is highlighting and addressed the potential factors to evaluate the student performance outcomes and Sustainability of educational performance.