By Brad Steiner

Doreen Lorenzo, CEO of frog, on the development of innovation and design

Q: You have worked with some legendary clients like Apple and Sony. How does that differ from working with smaller startups?

A: When working with startups, you don't have an infrastructure in place to block innovation. The organization is in a passionate startup mode – everybody is working very hard to a single purpose, so it is a very exciting moment. Doing big innovation change in a large organization requires a different set of people with a different mix of skills. We are often unifying groups who have never worked together – like engineering and marketing, to make that all work.

We just launched a little gadget today which takes the tangles out of your headphones wires. The client is just an inventor, and it’s not a big project. But he is getting a tremendous amount of press – a small little client, but very passionate about his work.

Q: How has frog managed the transition from designing hardware and objects to more software and experience design?

A: I joined frog to run their digital group 14 years ago. Our founder realized very quickly that interface work would become very important. Today, products are almost white boxes. It’s becoming more about the software. If you look at some of the trends in the marketplace – Google buying Motorola, or HP trying to sell off its computer division – we see a move towards services and software. Software is the connection you have on a continual basis with your client. I think Apple has done a really good job here – essentially they are a hardware company, but their software is the glue that keeps you coming back.

Q: Frog has been in China for five years. How has your business changed in that time?

A: When we opened our Shanghai office, the term innovation wasn't even spoken about. People didn’t understand it, because the environment wasn't about being creative. China is becoming savvier about what they can do, the government in particular has invested a tremendous amount of money in innovation and design. There is a lot more happening in design schools. Businesses are recognizing design as a key differentiator, and that copying will no longer get you to the top. There is also a demanding population, particularly for luxury goods – not just brand names, but also in terms of customer experience. We have seen increased activity and innovation coming out of China, as opposed to coming from somewhere else and dropping in here.

Q: How is working with Chinese clients different than clients in, say, California or Germany?

A: We've spent a lot of time educating our clients here in the process of innovation design, and I will say that they have been incredibly receptive. The first two years of our business was with Western brands wanting to do business in China. We went to a lot of meetings with Chinese firms, and showed a lot of work. We began to see the change at about year three. When you go in to see a new client you have never worked with before, they know design is important, but they may not be familiar with it. So we spend a lot of time on the education process.

Q: What types of work do you do with Chinese clients?

A: First, it’s working with large companies who want to expand into new markets overseas. In the past three or four years, there are several Chinese companies which are becoming big multinationals. Secondly, there are domestic companies who want to innovate for the Chinese market. We met a client this morning who is working on incredible innovations, and they have no intentions of taking the product anywhere but here.

Q: What do you think of the talent pool of designers in China? Has there been a change in the educational environment?

A: There is a change, but it's still going to take several years to get to the very senior level. We have a couple of Chinese creative directors, but at the executive senior director level, we're not quite there yet. But it will happen. We have taken a lot of young people out of design school, brought them here and are training them. I would say in another five or six years, we will see a total change, as this is about a ten-year process.

Q: How do you see your Chinese business in the context of frog globally?

A: What's wonderful about frog is that we have no headquarters. We are very adaptable, like our name. In China, it’s no different than what we did in the US 15 years ago, which is putting a lot of emphasis on growth. If we are an innovation company, we will go where the people want to be innovative. We have no shortage of people who want to come and live in China, even with their family. It’s a once-in-a-lifetime experience, to see that change that is happening here. We are always looking to the future. The work we are doing in the studio today will come out next year, so we are always moving forward.

Doreen Lorenzo is president and CEO of frog, a global innovation firm with offices in 15 cities around the world. Doreen joined the company 14 years ago to head the digital practice. They opened their Shanghai office in 2007.