Enabling innovation is major challenge for individuals, teams, organizations, regions and economies and the topic is increasingly seen as being crucial not only to success but to survival. The topic of innovation is both complex and wide-ranging and has not been extensively explored in the information systems literature. Many IS scholars such as Swanson and Ramiller, Fichman, Avergou and La Rovere, and Lee have implied that an ecological approach is required to refresh research in this important area. The purpose of this paper is to adapt the ecological systems theory (EST) of Urie Bronfenbrenner and apply it to a case study of innovation in a subsidiary of APC (by Schneider) located in the west of Ireland. Furthermore the paper involved utilising a new form of action research called dialogical AR recently proposed by Mårtensson & Lee. Among other findings the study shows that the EST lens can provide a comprehensive analysis of the innovation ecosystem which takes account of both internal capabilities and external influences.