This study examines the challenges and opportunities of digital transformation in micro, small, and medium enterprises (MSMEs), focusing on effective technology management strategies. MSMEs face significant challenges such as limited financial and human resources, inadequate digital infrastructure, and lack of digital knowledge and skills. However, digital transformation offers opportunities for improved operational efficiency, broader market access, and better decision-making through data analysis. The research uses a qualitative approach with a literature review to identify key challenges and opportunities. It finds that effective technology management strategies are crucial for successful digital transformation, including developing a technology strategic plan aligned with business goals, selecting and integrating appropriate systems, and training employees. These strategies help MSMEs automate processes, reduce costs, and enhance productivity and innovation. The study concludes that digital transformation is not just about adopting technology but also about changing work processes and mindset to create sustainable value. With adequate support and well-planned strategies, MSMEs can overcome challenges and leverage digital opportunities for growth and sustainability. Key challenges include resource constraints, inadequate infrastructure, and lack of knowledge. Opportunities include enhanced operational efficiency, access to broader markets, and data-driven decision-making. The study emphasizes the importance of training and education to improve digital literacy and awareness among MSMEs. Digital technology enables automation, improves customer service, and expands market reach through e-commerce and social media. The research highlights the need for effective technology management strategies to ensure successful digital transformation and sustainable growth for MSMEs.This study examines the challenges and opportunities of digital transformation in micro, small, and medium enterprises (MSMEs), focusing on effective technology management strategies. MSMEs face significant challenges such as limited financial and human resources, inadequate digital infrastructure, and lack of digital knowledge and skills. However, digital transformation offers opportunities for improved operational efficiency, broader market access, and better decision-making through data analysis. The research uses a qualitative approach with a literature review to identify key challenges and opportunities. It finds that effective technology management strategies are crucial for successful digital transformation, including developing a technology strategic plan aligned with business goals, selecting and integrating appropriate systems, and training employees. These strategies help MSMEs automate processes, reduce costs, and enhance productivity and innovation. The study concludes that digital transformation is not just about adopting technology but also about changing work processes and mindset to create sustainable value. With adequate support and well-planned strategies, MSMEs can overcome challenges and leverage digital opportunities for growth and sustainability. Key challenges include resource constraints, inadequate infrastructure, and lack of knowledge. Opportunities include enhanced operational efficiency, access to broader markets, and data-driven decision-making. The study emphasizes the importance of training and education to improve digital literacy and awareness among MSMEs. Digital technology enables automation, improves customer service, and expands market reach through e-commerce and social media. The research highlights the need for effective technology management strategies to ensure successful digital transformation and sustainable growth for MSMEs.