DevOps is a new software engineering paradigm adopted by various software organizations to develop the quality software within time and budget. The implementation of DevOps practices is critical, and there are no guidelines to assess and improve the DevOps activities in software organizations. Hence, there is a need to develop a readiness model for DevOps (RMDevOps) with an aim to assist the practitioners for implementation of DevOps practices in software firms. To achieve the study objective, we conducted a systematic literature review (SLR) study to identify the critical challenges and associated best practices of DevOps. A total of 18 challenges and 73 best practices were identified from the 69 primary studies. The identified challenges and best practices were further evaluated by conducting a survey with industry practitioners. The RMDevOps was developed based on other well‐established models in software engineering domain, for example, software process improvement readiness model (SPIRM) and software outsourcing vendor readiness model (SOVRM). Finally, case studies were conducted with three different organizations with an aim to validate the developed model. The results show that the RMDevOps is effective to assess and improve the DevOps practices in software organizations.