Educational transformation has become a strategic priority for educational institutions seeking to adapt to rapid technological advancements, changing learner expectations, globalization, and evolving workforce demands. Institutional readiness for educational transformation refers to an organization's capacity to successfully implement and sustain significant changes in educational practices, technologies, policies, and organizational culture. This study investigates the factors influencing institutional readiness for educational transformation, including leadership commitment, technological infrastructure, faculty preparedness, organizational culture, and resource availability. A mixed-method research design involving 650 faculty members, 180 administrators, and 850 students from higher education institutions was employed. Quantitative survey data and qualitative interviews were analyzed to evaluate readiness levels and identify barriers to transformation. Findings indicate that leadership support, digital infrastructure, faculty development, and stakeholder engagement are critical determinants of successful educational transformation. The study provides a comprehensive framework for assessing institutional readiness and offers recommendations for strengthening organizational capacity to achieve sustainable educational innovation.