?The system of local government in Poland has recently been an area of introduction of a number of innovative management instruments and methods. Their aim is i.a. to improve the availability and quality of public services and thus better satisfaction of residents’ needs. One of such innovative methods is urban prototyping – an advanced consultation-research-design process. The paper includes a synthetic characteristic and assessment of urban prototyping implemented in the Polish local government. This method is extraordinarily helpful in transforming public spaces. Urban prototyping actively involves residents who have the opportunity of direct influence on how the transformed space may satisfy their real needs better. Therefore, this process allows local government units - as stakeholders responsible for execution of public tasks for the benefit of residents - to achieve their goals effectively and efficiently. From the point of view of management in local government the basic value of urban prototyping involves simultaneous achievement of participatory, research and design objectives.