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The purpose of this paper is to discuss the concept of a pedagogical strategy called innovation pedagogy and examine how it has been and will be developed. The paper is an overview of the latest development of the innovation pedagogy approach. It provides a discussion of the changes in innovation pedagogy and, more generally, in higher education, including the changes in educational aims and involving a sustainable future as the priority in all education.

The research methodology is based on action research, participatory observation and on the experiences of the authors of the development process, which has taken place in one Finnish university of applied sciences during the past decade.

The implementation of innovation pedagogy requires time, participation of the whole educational community and management commitment. The study describes the results of the development work and states that the educational goals require consideration of values, processes and structures.

Because of the case study setting and a specific cultural context, there are limitations to the generalizability of the findings.

Focusing on the development of the concept of innovation pedagogy helps to understand how education development takes place gradually and how it can simultaneously aim to respond to the demands of a sustainable future. This study extends approaches on research in education and innovation pedagogy.

The purpose of this paper is to present an example of pedagogical strategy, called innovation pedagogy, and study whether its learning environments (activating teaching and learning methods, working life orientation and research, development and innovation (RDI) integration, multidisciplinary learning environments, flexible curricula, entrepreneurship and internationalization) can be associated with students’ innovation competences (creativity, critical thinking, initiative, teamwork and networking).

In this case study, the electronic self-assessment questionnaire was distributed to third- and fourth-year bachelor students (n=236) from one Finnish university of applied sciences at the end of the Spring semester in 2017.

Two profiles of students concerning their level of innovation competences can be identified. The level of students’ innovation competences is associated with all the six elements of learning environments. The more students have experience with learning environments of innovation pedagogy, the higher they scored when assessed for their innovation competences.

Because of the case study setting and a limited sample, there are limitations to the generalizability of the findings.

Focusing on different levels of innovation competences of students and approaching their study path in more detail, it could be better understood how to develop more effective education, and thus, respond to the demands of an innovation society. This study extends approaches on research in education and innovation and strengthens the understanding that learning environments should be versatile and include many-sided learning opportunities. It also shows that implementing pedagogical strategy needs lot of work to be revealed in practice.

The purpose of this study is to describe the desired learning outcomes of innovation pedagogy which supports innovations and regional development in higher education.

The study is based on the socio‐cultural theory and the constructivist view of learning developed to encompass the social and cultural customs of a particular community and its ways of operating.

The study extends the individual‐based learning used in many contexts to include collaborative and networked learning to support innovations.

The results are useful for those who want to outreach and engage in regional development and increase the external impact of the higher education institution.