The use of digital technologies has changed the way organizations operate. Engaging in digital transformation has become a crucial activity for organizations to stay relevant in today’s rapidly changing business environment. Recent research has started to focus on digital transformation at a project level but limited research has been done on projects at a multi-organizational level. To contribute to this research gap, an exploratory case study investigating an ongoing multi-organizational digital transformation project in the forestry industry has been conducted. The research question is “What is the role of collaboration in a digital transformation project and how does it affect the expected outcomes?”. The findings reveal that collaboration is a requirement to realize the expected project outcomes, but also that the outcomes can generate further collaborations. This creates a continuous process that can induce digital transformation at an industry level.