<p>In the face of uncertainties resulting from trade barriers and global tensions due to wars, economic meltdowns, health crises and climate change, the manufacturing sector faces a Herculean task ahead to stay competitive. The purpose of this study is to explain how the manufacturing sector adopts digital transformation capabilities to tackle environmental uncertainties. The existing literature remains silent on the mediating role of human resource flexibility in translating digital transformation capabilities to enhance organisational agility and adaptability. In addition, the role of absorptive capacity as a moderating construct is not well understood in the context of human resource flexibility and organisational agility/adaptability. To address the existing theoretical gaps in the extant literature, the study proposes research hypotheses anchored in the contingent view of dynamic capability theory. To test the research hypotheses, the study adopts a structured pretested questionnaire to capture the perceptions of the target respondents. The target respondents are senior managers with adequate experience and knowledge in the study topic. One hundred and sixty-seven usable responses were collected through emails sent to the target respondents. The data collected were analysed using WarpPLS 8.0, a PLS-SEM commercial software. The statistical results established the construct validity and further provided support for the proposed research hypotheses. The findings expand the theoretical understanding of the hierarchical view of dynamic capability and further support the absorptive capacity as a contextual variable in amplifying the effect of human resource flexibility on performance outcomes. This study also provides numerous directions for the managers and insights for the policymakers. The study also acknowledges the limitations and future research directions. </p>