Transitions and Transformations in Innovation Policy: Two Terms, Two Meanings

Societal Challenges Require Transitions and Transformations

Whether it concerns climate change, resource scarcity, the energy transition, the housing shortage, environmental pollution, socio-economic inequality, or the sustainability of our healthcare system; multiple crises and societal challenges cause uncertainty and instability for our current society and economy. In the Netherlands and Europe, missions and transitions have been formulated to address societal challenges through technology and innovation.

In the debate about the future of this mission-driven innovation policy, there is a growing interest in transformative (mission-driven) innovation policy, where innovation policy is more strongly and explicitly linked to transition policy to achieve transformative changes.

Increasingly, it is emphasised that the current system is stuck and that systematic, societal innovation is needed to achieve the desired systemic changes that solve today's societal challenges. Many societal tasks are maintained by the various systems within which they have arisen.

Transformative innovation policy allows for a different type of missions, missions that not only focus on innovation but especially on transformation. In practice, these transformative missions are often referred to as 'transitions and transformations', says Amber Geurts, senior researcher in innovation policy at TNO Vector and leader of the impact area Innovation Systems for Transitions and Transformations.

Given this increasing emphasis on transitions and transformations, it is important to think more deeply about these two concepts and their similarities and differences. In this article, we would like to discuss our initial findings regarding the research on these two terms and their meanings.

Two Terms, One Meaning?

'Transitions and transformations' offer a perspective for action in important change processes around societal challenges. These two terms feel closely related and are often used as synonyms, both in practice and in research and policy, says Rik Braams, senior researcher Transformative Government at TNO Vector.

Potentially, this can be limiting because it overlooks the transformative potential of transformations: if transitions mainly focus on changing a system (for example, making the non-sustainable in the system sustainable), transformations focus on reshaping the system into a different, yet to be determined future form – like a caterpillar emerging as a butterfly after transformation.

Three Perspectives on the Transition-Transformation Discussion

Based on an in-depth literature study, three perspectives on transitions and transformations have emerged:

• Perspective 1: Transitions and transformations are used interchangeably to describe the non-linear, fundamental change of complex systems. In this perspective, transitions and transformations are used as synonyms.
• Perspective 2: Transformations are considered one of the types of transition paths. This perspective is mainly found in transition sciences.
• Perspective 3: Transformation is used as a collective term, encompassing various types of change processes (e.g., transitions and different types of transformations). Because it is used as a collective term, this perspective appears in various domains.

How Transformations Differ from Transitions

In literature and practice, there are indications that there is indeed a difference between transitions and transformations; two terms with two meanings. To further clarify these differences, we have conducted an in-depth analysis to identify how transformations differ from transitions, says Wouter Homans, who researches the transformative mission of energy poverty at TNO Vector.

The analysis shows that transitions mainly address systems, such as the energy system, transitioning from a non-sustainable to a sustainable state. In this way, transitions have a somewhat 'narrow' view of change, focusing on changing a system to not only optimise but also improve it.
Applied to the energy domain, transition studies try to study the energy system to understand how the change of the energy system can be stimulated and what hinders such change. The outcome of such a transition is then an energy system where the non-sustainable has become sustainable.

Transformations often emphasise a 'broader' view of change and question the structural and ideological foundations of a system, such as politics, economy, institutions, culture, etc. This view is necessary because the current system significantly contributes to maintaining or even worsening our current societal challenges. Transformations, therefore, pay more attention to (conflicting) public values and attribute a more active role to human actions.

Transformations emphasise that our systems – in healthcare, energy, housing, etc. – are due for deeper change or even reshaping: a system innovation. Because transformations often question the system, it is more uncertain what the future looks like or how that future can be achieved. Therefore, transformative change towards a specific societal goal is central.

Time to Separate Transformation from Transitions

The analysis shows that it does matter how we, as a society, refer to transitions and transformations. The terms differ in how they approach the term 'change', and this has implications for policy and society. To enable the transformative potential of transformations, it is valuable and necessary to define, operationalise, and use transformation as a separate analytical concept.

Therefore, we advocate for a fourth perspective on transitions and transformations, where these concepts are approached as separate analytical concepts to achieve different types of systemic changes. With this, we aim to further develop transformative (mission-driven) innovation policy in the Netherlands.

The expertise area 'Innovation Systems for Transitions and Transformations' of TNO Vector researches and advises on addressing transitions and transformations. We pay attention to issues that arise in the various parts of the policy cycle. Are you looking for an expert who can help you further in transition and transformation processes to solve societal challenges? Then contact us below.