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The purpose of this paper is to analyze how service design practices reshape mental models to enable innovation. Mental models are actors’ assumptions and beliefs that guide their behavior and interpretation of their environment.

This paper offers a conceptual framework for innovation in service ecosystems through service design that connects the macro view of innovation as changing institutional arrangements with the micro view of innovation as reshaping actors’ mental models. Furthermore, through an 18-month ethnographic study of service design practices in the context of healthcare, how service design practices reshape mental models to enable innovation is investigated.

This research highlights that service design reshapes mental models through the practices of sensing surprise, perceiving multiples and embodying alternatives. This paper delineates the enabling conditions for these practices to occur, such as coaching, diverse participation and supportive physical materials.

This study brings forward the underappreciated role of actors’ mental models in innovation. It highlights that innovation in service ecosystems is not simply about actors making changes to their external context but also actors shifting their own assumptions and beliefs.

This paper offers insights for service managers and service designers interested in supporting innovation on how to catalyze shifts in actors’ mental models by creating the conditions for specific service design practices.

This paper is the first to shed light on the central role of actors’ mental models in innovation and identify the service design practices that reshape mental models.

The purpose of this paper is to provide an interdisciplinary framework bridging service design and social entrepreneurship with transformative service research (TSR) to create greater synergetic effects to advance wellbeing and drive social impact.

This research provides an interdisciplinary review and synthesis of literature to establish a basis for a conceptual framework advancing human wellbeing and driving social impact.

The overarching framework created incorporates various concepts, methods and tools across the three research domains. At the core of the framework is the ultimate goal of multilevel wellbeing and social impact. The core is subsequently supported by established social entrepreneurship concepts and strategies: prosocial motivation, hybrid identity, social bricolage, entrepreneurial thinking, community engagement, business model design and innovative delivery. The implementation of these concepts could benefit from the methods and tools used in service design, such as: design probes, service blueprints, appreciative inquiry, contextual interviews, actor maps, sustainable business model canvas and service prototyping.

The paper uses the refugee crisis as an illustrative example of how the proposed framework can be put into action by service organizations.

By bridging literature in TSR, service design and social entrepreneurship, this paper provides service managers with a framework to guide scalable systemic solutions for service organizations interested in advancing human wellbeing and driving social impact.

The purpose of this commentary is to present a critically constructive examination of the contribution of service research to the development of services from institutions that offer fair and sustainable living for all humans.

The authors draw upon critical thinking and critical social theory to problematise the neoliberal agenda (e.g. marketisation and privatisation) that shapes the service ecosystems within which the sustainable development goals (SDGs) and service research relating to SDG11 – sustainable cities and communities – and SDG16 – peace, justice and strong institutions – are often based. The authors critically review extant literature aimed at these goals and present constructive pathways for transformative social change to foster fair and sustainable living for all.

The authors find that the United Nations institutions, the SDGs and the service ecosystems that shape the research and practice addressing SDG11 and SDG16 are often grounded in neoliberal capitalist ideology that may inhibit transformative change. While service research has made some relevant and important contributions to support the development of services from institutions that offer fair and sustainable living, there is a need to consider alternative assumptions upon which service research and service design can be based to fully realise such transformative goals.

This commentary encourages service research scholars to engage with critically constructive perspectives that harness critique for transformative change.

Service scholars are finding that institutions – enduring social structures, such as rules, norms, beliefs – are increasingly important in theorizing on service-related phenomena. The purpose of this paper is to advance the use of institutional theory in service research by synthesizing the key insights from institutional theory that have been applied to service-related phenomena and developing a research agenda to guide the future use of institutional theory in service research.

This paper is an integrative literature review covering 68 articles from major service research and marketing journals that adopt institutional concepts and frameworks to study service-related phenomena.

The paper maps the “institutional turn” of service research, that is, the increasing tendency to draw on institutional theory for theoretical insights within service research and builds a conceptual framework of the institutional stabilization and destabilization mechanisms that explain endurance and change in service phenomena. The paper also proposes a research agenda that outlines four previously ignored aspects of institutions that have important implications for service research.

In addition to synthesizing insights and proposing directions for future research, the paper highlights specific theoretical and methodological considerations for the future use of institutional theory within service research. The literature review is limited to the 13 major service research and marketing journals.

This paper is the first literature review of the use of institutional theory in service research.