This report discusses general innovation issues and how they are affecting economic growth. It emphasizes how the advances in ICT, biotechnology and other fields of science are changing the innovation landscape and what are the implications for CD.

This issue of the quarterly journal "Capacity.org" focuses on methods that can help to understand the societal context in which capacity development takes place. One of these methods is systems thinking, in which organisations, sectors and societies are seen as systems composed of elements that interact with each other. 

This report reviews recent trends in agricultural innovation systems (AIS) and discusses the impact of a wide range of policies on the creation and diffusion of innovation in the agricultural and agrifood sector. It suggests a framework for analysing the role of governments in fostering increased innovation, with a view to helping to identify practical actions that governments could take to improve productivity growth, sustainable use of resources, and resilience to future market developments in national and global agriculture and agri-food systems.

This research refers to the application of a innovation framework to sustainable livestock development research projects in Africa and Asia. The focus of these projects ranged from pastoral systems to poverty and ecosystems services mapping to market access by the poor to fodder and natural resource management to livestock parasite drug resistance.

This learning module on Applying innovation system concept in agricultural research for development has been prepared to serve as a tool in achieving the objective of strengthening the capacity of project staff and other researchers and actors who are believed to have a key role to play in ushering in market-led agricultural transformation. This includes national, regional, international and private sector agricultural researchers, university lecturers, and others engaged in biophysical as well as social science research.

This paper is a reflection on a research project that defied the conventional technology transfer approach and adopted an approach based on innovation system principles to address fodder scarcity. Fodder scarcity in the project was conceptualized not as lack of technical capacity, but as lack of innovation capacity. This project tried to enhance innovation capacity by promoting appropriate configurations of stakeholders. However, translating this theory and principles into action was fraught with numerous challenges.

The Challenge of Capacity Development: Working Towards Good Practice draws on four decades of documented experience provided by both bilateral and multilateral donors, as well as academic specialists, to help policy makers and practitioners think through effective approaches to capacity development and what challenges remain in the drive to boost country capacity. The analysis is underpinned by a conceptual framework which guides practitioners to view capacity development at three interrelated levels: individual, organisational and enabling environment levels.

This conference proceedings from the OECD Conference on Agricultural Knowledge Systems (AKS), held in Paris, on 15-17 June 2011, discusses a large range of experiences and approaches to AKS  explores how to foster development and adoption of innovation to meet global food security and climate change challenges. The conference considered developments in institutional frameworks, public and private roles and partnerships, regulatory frameworks conducive to innovation, the adoption of innovations and technology transfers, and the responsiveness of AKS to broader policy objectives.

This paper uses household and key informant survey data from Ethiopia to: (1) understand the organizational structures that influence change in dairy production systems; (2) explore how local-level innovation system networks are functioning in the smallholder dairy production and (3) identify intervention points for strengthening innovation capacity. Results revealed that public sector actors are the major role players in the dairy production system despite their minor role in marketing linkages. We also found out that the private sector actors play peripheral roles in the network.

This chapter outlines the role of a well-functioning agricultural innovation system in ensuring good use of public funds, and higher responsiveness to the needs of ‘innovation consumers’ through improved collaboration between public and private participants, including across national borders. A well-functioning agricultural innovation system is key to improving the economic, environmental and social performance of the food and agriculture sector.