This chapter introduces the concept of policy innovation by examining the current state of knowledge in the field. It highlights that most research on policy innovation focuses on the stages of generating innovations and their outcomes, often through logical frameworks and systemic lenses. A notable achievement in this body of work is the emergence of policy labs around the world, which serve as platforms for experimentation, learning, and inspiration. Within this knowledge landscape, the primary emphasis has been on material change in progressive societies. However, what remains less understood is how policy innovations are cultivated in hierarchical societies, particularly in non-Western contexts. This critical gap underscores the significance of this book, which seeks to adopt a more context-sensitive perspective by drawing on the case of an urban policy laboratory in a strongly hierarchical society that has sought to foster policy innovation.