This paper aims to contribute to the understanding of the potential of Social Innovation (SI) for social transformation. Being a popular concept, SI has been discussed for decades, increasingly recognized for its complexity. A systematic review of the literature on SI was undertaken to understand the state-of-the-art, the evolution of the concept and its core underpinnings in order to meet the research aim of this paper. The literature is relatively broad in relation to general characteristics

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... f SI and contexts where it is happening, but the use of the 'social innovation' term often reveals semantic problems, generating multiple, interchangeable and mixed understandings. In this paper, we identify and discuss two ways of using SI in the literature: (i) one that favours the materialization of SI, as something tangible that can be observed, measured and systematically analysed; we called this a cartesian approach; and (ii) another that uses systemic thinking focussing on successful factors of SI to enhance its transformative capacity in existing system(s) through change in routines, resources, and beliefs; we called this a disruptive approach. While still emerging in SI literature the academic discussion about SI dynamics and its transformative capacity is increasingly addressed by scholars. We conclude the paper by arguing that more transformative-driven and systemic SI may enhance its potential to lead change, while it only creates transformation when it scales-up or out, and when it has durability and transformative impact.