This paper examines the impact of e-commerce growth on digital supply chain transformation within the UAE, highlighting the drivers, opportunities, and challenges involved. Data was gathered from 400 respondents via a convenience sampling method using online surveys and interviews with industry professionals. The study investigates several constructs, including Technology Integration, Consumer Demand, Inventory Management, Digital Logistics, Data Security, and Regulatory Compliance. Using descriptive analysis and Exploratory Factor Analysis (EFA) with Cronbach’s alpha for reliability, the study finds that the UAE's e-commerce boom has led to significant digitalisation in supply chains, improving operational efficiency and customer service. However, challenges related to data security, regulatory frameworks, and skills shortages persist. The paper suggests that collaborative efforts between the government and private sector are essential to overcoming these challenges and achieving sustainable digital transformation.