A digital controller for a voltage regulator module (VRM) having single phase or multiphase power converters, and an optional dynamic conversion circuit, is disclosed. The digital controller improves the transient response of the VRM during harsh load current transients, and permits a substantial reduction in output capacitance of the VRM. When used with multiphase interleaved power converters, for a given load current requirement, the digital converter permits the number of interleaved phases of the VRM to be minimized. A VRM with the digital controller demonstrates low cost, high power density, high efficiency, and fast transient response.