In recent years the construction industry has become increasingly aware of the potential of thetechnical knowledge held by construction professionals and the need to manage it effectively.However, organisations have experienced numerous problems in implementing and sustainingKnowledge Management (KM) initiatives. A key reason for this, which has been cited bothwithin industry and academia, is a lack of understanding of the best-suited KM approachesavailable and how to adopt them. In particular, the importance of people-orientated KMpractices, specifically in the case of construction firms who have a high level of dependenceon the tacit knowledge of their employees, has been well documented with many KM authorscalling for further research in this area.The research undertaken for this study was initiated in response to the need for furtherresearch and an improved understanding of KM (people-orientated KM in particular) bestpractice. The research was also focussed on establishing an effective KM initiative withinRamboll Whitbybird; the sponsoring organisation. The central aim of the research wastherefore to “deliver a framework that facilitates the retention and reuse of knowledge, whichwill increase Ramboll Whitbybird’s potential to drive engineering best practice and respondappropriately to conventional and emerging business opportunities.” To achieve this anaction research approach was adopted, facilitated through the use of literature reviews,interviews, focus groups, and other data collection methods, to enable the findings to beimplemented within an industrial setting.Through extensive industry involvement the research highlighted the core componentsnecessary for a successful KM initiative, and the actions necessary from those involved inimplementing, managing and sustaining KM activities within construction firms. The findingsdemonstrated that an organisation wishing to realise effective KM needs to establish a cleardefinition and understanding of KM across the business, which can be achieved through thecompilation of a KM strategy (statement) and action plan. It also needs to acknowledge theimportance of addressing the critical factors that will determine the success of its KMinitiative such as the need for KM champions and a supporting team, a fit with the way peoplework and an alignment with business objectives. The research also highlighted the importanceof people-orientated KM practices, and that construction organisations in particular shouldidentify and prioritise KM activities such as Communities of Practice (CoPs), due to theirreliance on tacit knowledge transfer. However, in order to maximise the benefits toindividuals and the business, the organisation will need to take a ‘light touch’ approach to themanagement of CoPs. Supporting people-based KM activities with the right technology is animportant factor, particularly as organisations expand and become more geographicallydispersed. To ensure that this technology is an effective supporter of KM it needs to betailored to fit with the KM needs of the business, and will need to become de-centralised in itsoperation. Finally, the research outlined the importance for the organisation to consider theintegration of KM within the daily operation of the business by incorporating KM effectivelyinto communication and reporting structures, while also ensuring that it becomes a core aspectof its Quality Assurance (QA) procedures.