Companies that successfully adopt digital technology don’t view it as an extra; digitization becomes central to what they are because they transform their value propositions and evolve every level of the organization so that it becomes data driven, customer obsessed, and highly agile. In this episode of the McKinsey Podcast, recorded in November 2015, principals Karel Dorner and David Edelman talk with Barr Seitz about why, decades into the digital revolution, companies are still trying to define what digital really is and struggling to make the most of it. An edited transcript of their conversation follows.