Digital transformation has emerged as a critical strategic imperative for organizational sustainability and competitive advantage, particularly within the information technology sector, which operates in a highly dynamic and innovation-intensive environment. Despite extensive literature on digitalization, the complex interplay between technological, organizational, and environmental factors in facilitating digital transformation remains inadequately understood, especially regarding the mediating mechanisms that enhance transformation effectiveness. This study investigates how individual IT professionals perceive technological, organizational, and environmental determinants of digital transformation, emphasizing the mediating role of knowledge management. Employing a comprehensive quantitative methodology, the study collected data from 410 IT professionals in India and utilized Partial Least Squares-Structural Equation Modelling (PLS-SEM) for analysis. Findings reveal that organizational factors directly influence digital transformation implementation, while technological and environmental factors exert indirect effects through knowledge management as a significant mediating variable. The study contributes to both the theoretical understanding of digital transformation mechanisms and provides practical insights for IT organizations in India seeking to enhance their digitalization strategies through strategic knowledge management implementation, ultimately fostering innovation, operational efficiency, and sustainable growth in an increasingly digital business ecosystem.