Abstract

Swedish policymakers give increasing attention to understanding the role of the public sector in regard to innovation dynamics. It is widely acknowledged that the public sector can act as a catalyst for business innovation. Recently, however, attention has shifted to better understand how innovation takes place within public sector organizations. The reasoning behind this is the recognition that innovation is needed for the public sector to address the many challenges that it faces. On the one hand, it must respond to increasing pressure due to rising costs, increasing demands from citizens and businesses, demographic changes, environmental risks, and the process of globalization. On the other hand, the public sector has transformed, by adopting both technological and organizational changes to improve public services, while addressing concerns of efficiency.

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