What shapes public sector innovation?

This research attempts to analyse the determining factors of successful innovations and formulate a strategy for replicating public service innovation. It also aims to fill the gap in research regarding the public sector innovation that is required to create sustainable, innovative services, and to develop a better understanding of how innovation develops in the public sector. In this study, the desk review method was used with data of the public services available in Indonesia to analyse the determinants of service innovations in the public sector. Additionally, interviews and Focus Group Discussions (FGDs) were held to gain a deeper understanding of how innovation can develop in government institutions. Analysis of the results indicates that the most dominant innovation determinant is found within the institution itself, although other determinants also provide positive contributions as well. The replication and adoption of public service innovation efforts that institutions carry out need to undergo several stages in order to achieve optimal implementation. One of the practical implications here is that public institutions can use the findings of this study to begin developing innovation within their organization and implement it using the stages of strategy analyzed in this paper. © 2019 Mykolas Riomeris University. All rights reserved.