Applying Knowledge Management (KM) in healthcare system is nothing-supernatural constituent. Years of research and effort to implement KM been executed and it can be conclude that KM provides promising approach to a successful healthcare knowledge management system. KM allows sharing of healthcare information between medical practitioners regardless of place and time. A clear and systematic framework to motivate sharing and exchange of healthcare knowledge among different institutions remains a challenge. Prior to the application of integration system, it is crucial to prepare platforms and human resources that are well inform and prepare to adopt such system. Current healthcare system (in Malaysia) are not fairly distributed and not standardized. Some of the hospitals deploys hospital system while others not. In addition to that, the system deployed is different from each other in many aspects. Hence, the aim of this paper is to suggest KM approach in facilitating the organization of healthcare data, information and knowledge for better retrieval process to support knowledge sharing. As the result, we add in the importance differentiate between good knowledge and bad knowledge to ensure the provided knowledge is in the right format to the right person at the right time. © 2010 IEEE.