This research investigates the impact of lecturers' digital literacy skills on higher education institutions. It explores how technology integration influences teaching, learning, and research while proposing strategies to enhance educational outcomes. The central issue is how lecturers' digital literacy skills directly affect higher education institutions' teaching, learning, research, and overall educational experience. Many lecturers need to improve using technology tools, resources, and platforms, which can hinder tertiary institutions' educational experience and academic outcomes. Employing a mixed-method approach and utilizing t-test analysis and two-way ANOVA, this study aligns with the Technological Pedagogical Content Knowledge (TPACK) framework, emphasizing the integration of technological, pedagogical, and content knowledge for effective technology use in education. The research highlights the importance of equipping lecturers with robust digital literacy skills, enabling them to integrate technology effectively into higher education. It underscores the significance of digital literacy in reshaping the educational landscape. This study contributes to advancing knowledge, information practices, and the sustainable evolution of higher education institutions in the digital age. The findings also have practical implications for tailored professional development and curriculum design. It is important to note that this study acknowledges limitations related to sample size and qualitative focus. Future longitudinal studies can enhance our understanding of the evolving landscape of digital literacy in higher education.