Dynamic Capabilities for Transformative Change in City Governments | UCL Institute for Innovation and Public Purpose (IIPP) Working Paper Series: IIPP WP 2025-03
Authors:
- Rainer Kattel | Deputy Director and Professor of Innovation and Public Governance | UCL Institute for Innovation and Public Purpose (IIPP)
- Mariana Mazzucato | Professor in the Economics of Innovation and Public Value, University College London, and Founding Director of UCL IIPP
- Kwame Baafi | Research Fellow in Data Analytics and Visualisation at the UCL Institute for Innovation and Public Purpose (IIPP)
- Fernando Fernandez-Monge | PhD candidate at the Institute for Innovation and Public Purpose (IIPP)
- Anna Goulden | Research Fellow for Public Sector Capabilities Index at the UCL Institute for Innovation and Public Purpose (IIPP)
- Iacopo Gronchi | PhD student at UCL Institute for Innovation and Public Purpose (IIPP)
- Nai Lee Kalema | PhD student at the UCL Institute for Innovation and Public Purpose (IIPP)
- Ruth Puttick | Senior Research Fellow at the UCL Institute for Innovation and Public Purpose (IIPP)
Abstract:
City governments face growing challenges in driving transformative change amidst complex socio-economic and environmental pressures. This paper examines how dynamic capabilities—the ability to adapt, reconfigure, and transform within existing structures—can enable cities to address such challenges effectively. Drawing on case studies from Barcelona, Bogotá, Freetown, and Seattle, we propose a novel framework that integrates structural capacities, organisational routines, and dynamic capabilities to illuminate how these elements interact to foster transformation. Our findings highlight the role of cultivating strategic awareness, adopting focus areas, coalition-building, transforming existing teams, and embedding experimentation in addressing institutional and resource constraints, offering actionable insights for policymakers and researchers on advancing transformative urban governance.
Reference:
This working paper can be referenced as follows: Kattel, R., Mazzucato, M., Baafi, K., Monge, F., Goulden, A., Gronchi, I., Kalema, N. and Puttick, R. (2025). Dynamic Capabilities for Transformative Change in City Governments. UCL Institute for Innovation and Public Purpose, Working Paper Series (IIPP WP 2025-03). Available at: https://www.ucl.ac.uk/bartlett/public-purpose/wp2025-03