Various researchers and policy analysts have experimented with empirical studies of sectoral innovation systems (SIS), in which attempts have been made to understand the current structure of various innovation systems and trace their dynamics. We have captured the dynamics in terms of not only the structural components of a SIS but also pioneered such an analysis in terms of functional patterns (as well as functionality). In a collaborative work with VINNOVA (the Swedish Agency for Innovation Systems), we have taken the analysis one step further and made explicit a scheme of analysis, or a manual for policy makers. The manual is based on the received literature, our prior experience in developing and applying functional thinking and three experimental case studies, conducted in collaboration with VINNOVA. The manual can be used by policy makers to identify not only the key policy issues but also to set policy goals and to assess the usefulness of various policy instruments.
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