ABSTRACT: The background of this research is the innovation rate in the sub-directorate XY is low compared to the other sub-directorate. To answer that issue, research is conducted to assess the knowledge management maturity level in sub-directorate XY and propose Knowledge Management design and implementation to increase digital talents and innovation in sub-directorate XY. The research used mixed methods by conducting a survey of all employees under sub-directorate XY and semi-structured interviews with senior leader’s representatives and finally using data triangulation to combine the quantitative and qualitative analysis. The analysis showed that the sub-directorate XY KM Maturity level is in the refinement stage where Knowledge Management is continuously evaluated and improved. As a lesson learned from previous knowledge management implementation to make it more effective, sub-directorate XY must focus on nurturing a culture that focuses on continuous learning and sharing activities, resource allocation to manage the knowledge management processes, i.e., specific teams and budget allocation. A presence from senior leaders who continually promote the importance of knowledge management also should be consistently conducted in sub-directorate XY. And finally, the KM tools and framework can be built to support and accelerate the KM processes.

KEYWORDS: Asian Productivity Organization, Digital Talent, Innovation, Knowledge Management, Knowledge Maturity Level