<p>This review paper examines the essential role of digital transformation in enhancing supply chain management for small and medium-sized enterprises (SMEs). As SMEs increasingly adopt digital technologies, integrating big data analytics is vital for improving operational performance and fostering innovation. The paper identifies key benefits of digitalization, including enhanced collaboration, real-time insights, and optimized processes, while also addressing the significant challenges SMEs face, such as organizational readiness, talent acquisition, financial constraints, and technological complexities. A comprehensive framework for adopting digital supply chain management is proposed to navigate these challenges, emphasizing strategic planning, technology assessment, data integration, process optimization, and effective change management. Additionally, the study introduces a hybrid model for digital integration that allows SMEs to gradually implement scalable technologies while redefining blockchain’s role as a facilitator of collaboration within supply chains. This paper adds to the theoretical insights on digital transformation by introducing the concept of digital redundancy, enhancing supply chain resilience through improved risk management.</p>