Unfortunately the item transformation button does not appear when inspecting item rewards, so I can understand the confusion some of you are experiencing. The transforming ornamentations are able to cycle their weapon graphic between various 1-handed forms and 2-handed forms. You are granted two so that dual wielding classes can ornament each weapon, classes that use two handed weapons can transform the weapon into a two-handed form. The lore text description on the items details each graphic type that the item can cycle through: mace through hand axe and cestus are 1-handed ornaments while the truncheon through axe are two handed ornaments. They can be applied to any 1h or 2h weapon type [1hb, 1hs, 1hp, h2h] and [2hb, 2hs, 2hp]. Hopefully that clears up some of the confusion.