Public Procurement for Innovation as mission-oriented innovation policy

This article focuses on Public Procurement for Innovation as a relevant demand-side instrument to be exploited in the mitigation of grand challenges. It intends to provide some clarification on what should (and what should not) be regarded as innovation procurement. It defines what is meant by Public Procurement for Innovation and categorizes it according to three dimensions: (i) the user of the purchased good; (ii) the character of the procurement process; and (iii) the cooperative or non-cooperative nature of the process. In addition, it illustrates the main stages in innovation procurement processes and exemplifies them with six cases to provide evidence that Public Procurement for Innovation can contribute to satisfying unsatisfied human needs and solving societal problems.

► Public demand as an engine for the development and diffusion of innovations. ► PPI is an instrument for meeting human needs and mitigating societal problems. ► PPI is divided into four categories: direct, catalytic, adaptive and developmental. ► Case study descriptions aim to clarify the characteristics of PPI. ► The methodological approach followed is exploratory.