Transformative public procurement for innovation: ordinary, dynamic and functional capabilities

Abstract

Public Procurement for Innovation (PPI) requires multiple roles from the public administration according to the problem-solution space, delineated by the level of consensus around the definition of the needs of the contracting authority and the potential solutions to address them. Each role involves a distinct mix of capabilities, which we categorize as ordinary (i.e. doing things right), dynamic (i.e. doing the right things) and functional (i.e. addressing functional challenges). Following a Mutual Learning Exercise with procurement officials of 15 European countries, we identify 45 capabilities for contracting authorities to embrace the different facets of PPI as a transformative policy instrument.