Given the rapid global economic development and continuous technical advancements, a key strategy for companies trying to improve their competitive edge and accomplish sustainable development is digital transformation. This study's goal was to investigate how the supply chain capabilities of Yunnan Province's fresh-cut flower business are affected by digital transformation. To collect data, the study employed a survey methodology based on a questionnaire. Ultimately, 402 flower businesses in Yunnan Province produced valid du-plicates. PLS-SEM was utilized in the study to evaluate the data, and the results showed that digital transformation greatly improved the enterprises' capacity for both innovation and supply chain management; innovation capabilities positively impacted supply chain capabilities and acted as a mediator in the relationship between supply chain capabilities and digital transformation. Furthermore, organizational readiness largely exhibits a positive moderating effect on the relationship between digital transformation and supply chain capabilities, whereas technology readiness not only fosters but also reinforces the relationship between digital transformation and innovation capabilities. These results offer an effective reference suggestion for fresh-cut flower companies in Yunnan Province and nationwide on how to enhance supply chain capabilities through digital transformation to improve their competitive advantages.