In search of innovation capability and its sources in local government organizations: a critical interpretative synthesis of the literature

Empirical research has identified a long list of antecedents that promote innovation in local government organizations. However, less is known about how and why diverse antecedents—as well as their interplay—stimulate local government organizations to innovate and create public value. We address this gap through a systematic and critical interpretive synthesis of the empirical literature on innovation and entrepreneurship in local government organizations. Our review advances theory development about public sector innovation processes by (1) showing how antecedents relate to each other across levels of analysis in a process model and (2) explicating why local government organizations generate/adopt innovation through innovation capability. Our emerging theory offers several contributions to the public sector innovation literature and a forward-looking research agenda.