Nitrogen (N) is the growth-limiting nutrient of plants in terrestrial ecosystems, especially in grassland ecosystems. The availability of N is determined by N cycling processes in terrestrial ecosystems. To better understand the N cycles, a key way is to exactly determine the rates of N transformation. To date, 15N stable isotope technique is highly recommended for quantifying the processes of N transformation. The isotope technique is generally classified into four categories as 15N natural abundance, 15N reduction, 15N pool dilution and 15N tracer techniques. In this paper, the progresses of researches on N transformation using 15N technique with a focus of 15N pool dilution and 15N tracer techniques in grassland ecosystems were summarized. Firstly, two detailed protocols were summarized from published papers for 15N pool dilution and 15N tracer techniques, respectively. Secondly, the recent findings of N transformation in response to human activities (fertilization, grazing, fire and mowing) and global change (global warming, increasing precipitation, atmospheric N deposition and increased CO2 in atmosphere) using the above two N isotope techniques in natural grassland ecosystems were reviewed. The isotope techniques described here were also applicable to other terrestrial ecosystems, such as forest ecosystems and agro-ecosystems.