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Till now no study has been undertaken which test the knowledge management processes for creating dynamic capabilities on the basis of organization structures with interpersonal trust as an important variable. This paper serves as a preliminary study proposing an integrated conceptual model that unmistakably unifies the notions of knowledge management and dynamic capability.

Through an exhaustive literature review, the study explores the role of knowledge management in building dynamic capabilities within the organizations. Through the available literature, authors have attempted to study the relevance of knowledge management against the backdrop of Structuration theory.

Through their proposed framework, authors posit that the structural elements of an organization set the tone for knowledge management within the organization. Organizations face dynamic challenges from the external environment, and in absence of interpersonal trust the creation of dynamic capabilities becomes difficult.

First, the current study enriches the growing research interest in Knowledge management. Second, the study connects Knowledge management and interpersonal trust within the organizations, which in turn is influenced by the structure of the organization. Structures created in the organization decide the direction, quality and quantity of knowledge sharing within the organizations both through social systems and through formal reporting systems. Thus, this paper serves as a preliminary study proposing an integrated conceptual model that unmistakably unifies the notions of knowledge management and dynamic capability.