This paper reports progress in research into the applicability of the knowledge management (KM) paradigm to third sector organizations. Case studies and an action research project are described. Although KM techniques are in use, resource priorities, program funding, and dispersed authority inhibit KM in these organizations. There is little intentional consideration of the relationships between the values held by these organizations and the data gathered from experience. A relational knowledge domain model is proposed that shows how knowledge is derived from observing real or imagined universes, is stored in knowledge artifacts, and is operated on by natural and designed processes to realise future states of the universe being observed. This model is intended to promote a more holistic approach to knowledge and its management in values driven organizations but can be applied in any organization or community of practice.