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. This plain language summary outlines our research on how university educators utilize technology, such as computers and the internet, in their teaching and research endeavors. We aimed to investigate whether educators proficient in digital tools could facilitate better teaching and foster enhanced student learning outcomes. To delve into this inquiry, we examined educators' comfort levels with digital tools and their proficiency in integrating them into their teaching methodologies. We also explored the frequency of their usage of digital platforms and their confidence in navigating digital information. Our findings underscored that educators adept in digital tools tend to exhibit more effective teaching practices. They demonstrate greater adaptability in incorporating digital tools into their teaching methodologies, leading to more engaging student learning experiences. Moreover, educators skilled in digital communication showcased effective utilization of online platforms to interact with their students. Furthermore, we delved into how gender and work experience influence educators' digital skills. Our research revealed that these factors can impact educators' comfort levels with digital tools, though further investigation is warranted for a deeper understanding. In conclusion, our study underscores the pivotal role of digital literacy for educators in higher education. By enhancing their digital skills, educators can elevate their teaching effectiveness, consequently contributing to improved student learning outcomes. We aim to provide insights that can aid universities in supporting their educators in cultivating these crucial skills essential for the contemporary digital landscape.