PT XYZ is a Depository and Settlement Institution and one of 3 companies that hold securities trading in the Indonesian capital market. Aside from being the organizer of the securities trading, PT XYZ also has its own vision and mission in advancing Indonesian capital market. The measurement of customer satisfaction index is one of many ways in realizing corporate vision and. Knowledge Management (KM) is a crucial factor that PT XYZ has and could help in achieving target of customer satisfaction index. Hence XYZ needs to formalize its KM implementation. This research will be conducted to measure the level of readiness of PT XYZ before implementing KM and develop strategies to improve its readiness level. The measurement will be conducted by using Knowledge Management Critical Success Factor (KMCSF), KM Enabler, KM Infrastructure, and KM Aspects. KMCSF will be mapped together with KM Enabler and KM Infrastructure in order to create KMCSF that are suitable for PT XYZ. The mapping result will then be mapped again into KM Aspects so that the KMCSF will now be grouped into 3 aspects: abstract, soft, and hard. Results obtained from this research is that the level of readiness of KM implementation of PT XYZ measured at the Receptive level. The strategies to improve readiness level are develop by conducting gap analysis between company current condition and future condition with the implementation of KM.