Educational organizations are the main instruments of society for the constant pursuit of knowledge. The role of knowledge management (KM) in the educational institutions (EIs) is critical and important. So we can say the main function of educational organization is the KM. Through the application systematic thinking, KM in educational organization can be separately identified and studied at administrative, research, education (teaching and learning processes), student service and human resource subsystems. The use of the KM systems and principles in EIs can lead to more flexibility in decision, promotion in teaching and learning processes, access to scientific resource, establishment of the effective internal and external communication network, synergy at the students and faculty knowledge and improvement in quality and quantity of research activities in EIs, However, effective and efficient accomplishment of KM in education faces some challenges. The study aims to examine the promises and potential pitfalls, challenges and opportunities of KM in education and educational institutions, especially the role of KM in teaching and learning processes.