The ability of academic libraries to produce timely and effective responses to various environmental changes constitutes a major challenge for them to enhance their survival rate and maintain growth in competitive environments. This article provides a conceptual model as an analytical tool for both improving current services as well as creating innovative services through appropriate management of client knowledge in academic libraries. Through an exploratory qualitative case study and from reviewing the current literature in knowledge management, a theoretical framework is proposed for managing customer knowledge. The proposed framework is expected to improve existing library services and create new innovative services in academic libraries. (Contains 4 figures.)