¡@¡@In the dynamic knowledge-oriented age, organizations need continuously develop existing capabilities and new capabilities to adapt changeable environment and maintain their competitive competence. Not trying to make all staff learn all things, organizations need knowledge integration to coordinate knowledge held in different individuals. Specified knowledge in separate individuals could be integrated into organizational capabilities, the basis of competitive competence, through designing of appropriate organizational structure, authority, communication, decisions making and mechanism. ¡@¡@Because of the business environment full of Internet and Web, IT capability has become a critical factor in building potential competitive competence. ¡@¡@In the view of Knowledge-Based Theory of Firm and Hyper-Text Organization, this research emphasizes the coordination of organizational structure and knowledge management. Applying organizational structure and different integration mechanisms collected from related literature, exam the relation between the factors of knowledge integration and core capability of MIS department. Try to achieve efficient knowledge creation, utility and transfer through the discussion. ¡@¡@An empirical survey methodology is applied to test the research model and hypotheses proposed in this study. Six out of seven hypotheses are validated in our research model with Path Analysis. The research result reveals that knowledge integration has significant impact on MIS department capability. Organizational structure design, including business structure design, project structure design and knowledge codification, has critical contribution to knowledge integration.