The practice of integrating knowledge management into the human resource management function of the FH Ethiopia projects is the subject of this research. The enhancement in project human resource management processes and functions will eventually result in an improvement in the performance of an organization. The advantages of implementing an integrated approach between HRM and KM, in which one encourages and supports the other in order to improve organizational efficiency and employee performance. rnThe main objective of this research is to develop an integrated project HRM platform for FH Ethiopia to enhance the KM practices in the way of improving organizational performance. The main objective of the study was accomplished by identifying gaps. A proposed conceptual framework enables FH Ethiopia to integrate KM in project HRM processes. Especially, FH Ethiopia is a project-based organization and project HRM needs big attention in terms of retaining knowledge (tacit) that obtained throughout the project implementation. The study attempts to answer three research questions that focuses on ehancing orgizational performance. These questions are intended to bridge the gap between knowledge management practices and human resource management operations. The study effectively addresses the issues by developing methods that, in turn, improve employee and organizational performance. rnThe study uses design science research methodology to answers the research questions. Experts of the organization look upon the proposed conceptual framework, which developed as per the design requirement. The research approach for this thesis was established based on six procedures to answer the research questions. Experts from the organization were selected for interviews based on their valuable contribution to the study. Their input gives crucial data for the researcher about the current setup of KM in the organization. The researcher uses documents and performs a physical observation to understand the culture and awareness of staff towards KM. rnThis study has substantial implications for organizations that are predominantly project-based. The study shown that project managers, team leaders, and team members should think about leveraging prior project knowledge and experiences. Generally, this study contributes in the organizational initiatives to strengthen knowledge management practice by developing comprehensive knowledge management policy/strategy compatible with organizational strategy, enhance the level of employee awareness regarding the concepts and benefits of knowledge management, implement a knowledge management system and revive employees to take an active role in knowledge management initiatives that enhances organizational performance. The findings of this research have major management consequences, especially for project-based organizations.