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This Study probes the influence of knowledge management capabilities and their association with employee’s engagement and job performance of employees of health department at Rawalpindi District in Pakistan. Data was collected on 5-point Likert scale through simple random sampling technique from a sample of 160 doctors working in rural, urban and teaching hospitals in the selected region. Results showed a significant positive relationship between knowledge management capabilities, employee engagement and employee’s job performance and partial mediation of employee’s engagement between relationship of knowledge management capabilities and employee’s job performance is exhibited in the study. Valuable capabilities of knowledge management leads toward effective employee engagements that motivate and encourage its employees to better perform at workplace in more efficient way, beside it enables to capture and share right kind of knowledge management practices, at right time & at right place ensuring successful and timely retrieval of useful information when needed. Considerable improvement in organizational knowledge management capabilities is suggested to capitalize knowledge management capabilities of technology, structure and culture along with refresher training programs on employee engagements regarding knowledge acquisition, sharing, conversion and protection at workplace to meet competing demands of higher job performance.

Keywords: Knowledge Management Capabilities, Employee Engagement, Job Performance.