Rapid global economic expansion and ongoing technological advancements have made digital transformation an essential tactic for businesses looking to boost their competitiveness and accomplish sustainable development. The study aims to explore how digital transformation (DT) indirectly affects the sustainable supply chain performance (SSCP) of fresh-cut flower supply chains in Yunnan Province through organizational readiness (OR) and innovation capability (IC) and to examine the moderating role of technology readiness (TR) in this process. This study adopted the survey method of the questionnaire, and the final valid sample was 354. Based on the RBV and the philosophy of sustainable development, the PLS-SEM approach is used in this study to assess the fresh-cut flower supply chain in Yunnan Province. It was found that OR and IC played a significant mediating role in DT and SSCP. Furthermore, the link between DT and OR, IC and SSCP, was significantly moderated by TR. The empirical results suggest that high technological readiness and innovativeness help firms assimilate and apply new technologies faster and thus achieve better results in digital transformation. This paper provides valuable guidance for firms and policymakers, suggesting active investment in digital technologies and infrastructure development, and focusing on the combination of innovation capability and sustainability to promote the sustainable development of agricultural supply chains.