This study aims at identifying the correlation between digital transformation and knowledge building in educational institutions, as well as finding the influence relationship between digital transformation and knowledge building in educational institutions and knowing the dimensions of digital transformation that have the most impact in improving the level of knowledge building, and by adopting the methodological descriptive analysis method in the Ministry of Education. Education and educational institutions in Baghdad. This research deals with digital transformation as an independent variable according to two dimensions (digital adaptability and digital readiness). Knowledge building was adopted as an approved variable using the statistical program (spss. V24), and a set of results were reached, the most important of which are: It was found that there is a weakness in the commitment of some educational institutions to laws and legislation and the absence of government oversight in this aspect, or those institutions focus on other standards that may achieve her most purpose. It was found that there is a weakness in the commitment of some educational institutions to laws and legislation and the absence of government oversight in this aspect, or the focus of these institutions on other standards that may achieve the most purpose accordingly, the study made a set of recommendations, including: educational institutions should focus on knowledge extraction inherent in the minds of its members to benefit from it in the development of the institution. In addition, educational institutions and senior administrations require the development of integrated information systems operations and response to developments, change and transformation in the inputs of modern systems and information technology.