ABSTRACT Electronic Commerce (EC) has completely changed business environment and model. Furthermore, traditional business needs new transformation strategy to match customer demand. Many companies try to implement Knowledge Management (KM) or Customer Relationship Management (CRM) system to promote customer satisfaction and earn more money. The purposes of this research are as follows: 1. Strategic analysis of customer knowledge management for steel industry 2. Taking steel industry as an example to understand the customer knowledge This research focuses on three dimensions of CRM¡BKM (knowledge management, customer knowledge resource, and customer knowledge measurement) to design the questionnaire for the steel companies. Taiwanese company has limited knowledge about CRM and KM, especially for traditional business such as steel company. This research aims to collect the idea, strategy and model of CRM and KM in the global market. Moreover, this will help traditional business use new transformation strategy to catch on network consumer and create higher added value. This will help steel industry to draw a blue roadmap in the future. Keywords: KM, CRM, customer knowledge, customer knowledge resource, customer knowledge measurement