This study investigated the role of technology-enhanced formative assessments (TEFAs) in fostering student engagement and improving learning outcomes in a higher education setting. In response to challenges I had encountered in my own teaching practice and with the growing need for more interactive and responsive pedagogical approaches, this research examined how digital tools can transform formative assessment to better support continuous learning. Positioned within an action research framework, this study explored TEFAs through three iterative cycles. Data collection involved a combination of quantitative and qualitative methods, including surveys, focus groups, learner analytics, and my own reflective observations as a lecturer. This diverse data set allowed for an in-depth analysis of the impact of TEFAs on student engagement, self-regulation, and academic performance within a higher education context, which was characterised by challenges like large class sizes, diverse student needs, and rigid assessment structures. The findings revealed that the integration of digital tools into formative assessment practices can offer significant advantages. TEFAs facilitated timely, personalised feedback, which supports self-regulated learning. They also contribute to higher levels of student motivation and engagement by creating more interactive and relevant learning experiences. To guide the design and implementation of the TEFAs, this study developed a synthesised, integrated framework based on Learning-Oriented Assessment (LOA) and Technological Pedagogical Content Knowledge (TPACK) models. This framework offers a practical guide for educators looking to integrate TEFAs in higher education settings. While the findings are context-specific, they offer valuable insights for broader educational practices. This research presents actionable recommendations for educators, instructional designers, and policymakers on how to effectively align technological and pedagogical objectives in the design of assessments. These recommendations contribute to wider discussions on the evolving role of formative assessment in higher education. It also suggests ways that institutions can adapt their assessment practices to better meet the needs of 21st-century learners. By connecting theoretical understanding with practical strategies, this study highlights the potential of TEFAs in creating more engaging and effective learning environments.