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The implementation of Knowledge Management (KM) is considered a sustainable approach to overcome challenges in the increasingly complex and competitive construction field. The construction industry needs to recognize the importance of KM as a strategic asset to improve organizational performance because employees knowledge, expertise and experience are the keys to organizational success. This is supported by the addition of discussion on KM in Chapter 4 Project Integration Management in the sixth edition of the Project Management Body of Knowledge (PMBOK® Guide) book in 2017. This study was conducted to evaluate the achievement of KM maturity level and determine the key success factors or critical success factors (CSF) of KM needed to improve the function of KM, which aims to improve organizational performance in State-Owned Enterprises (SOE) construction service sectors in Indonesia. The methodology used, initially by reviewing several journals to obtain knowledge factors used as indicators in identifying the maturity level of KM and CFS maturity. Then compile a questionnaire to collect data from respondents who are SOE construction service employees ranging from staff, middle, and top management. The data is then processed further with several analysis processes. The results of the study contain strategies that need to be developed to improve the function of KM in order to improve organizational performance in SOE construction service companies in Indonesia which is more effective and efficient.