Institutional mechanism for shaping social innovation

Institutional environment creates conditions for shaping social innovation projects. In this case, current rules and standards can both stimulate and inhibit the development of social innovation in a particular territory. The goal of the present study is to develop an institutional mechanism for the formation of social innovation. It is done with the help of multiparameter systematization method, graphic modeling and other general scientific methods. Theoretical principles of the research presented in the paper are based on the institutional theory, public sector theory, innovations theory, life cycle theory and others. The authors systematize the institutions that influence the formation and development of socio-economic environment; they also point out a list of barriers in the sphere of social project management and put forward possible solutions that help mitigate the impact of inefficient institutional structures. The paper proposes an institutional mechanism for shaping social innovation; this mechanism shows possible reasons for inefficiency of social innovation projects and explains how the institutional environment and internal rules and regulations affect the feasibility of project implementation and its effectiveness...