The main aim of the current study is to assess the relationship between knowledge management (KM) capabilities and organizational performance (OP) in developed nations. In addition, this study also aims to assess the moderating influence of transformational leadership (TL) between KM infrastructure (KMCI) and organizational performance (OP) of the Jordanian service and tourism sectors. In this study, it’s suggested that KMCI and its components will directly affect OP. In addition, it’s expected that TL moderates the relation between study variables. Purposive sampling was used to gather data from the service and tourism sectors in Jordan, as it is the population of this study. Partial Least Squares was used to analyze the data. The findings indicate that KMCI and its components significantly affect OP. TL moderated the effect of KMCI on OP. It is advised for decision-makers to concentrate on KMCI, create the proper culture and organizational structure, and improve its technologies to support the growth of KM activities in Jordanian service and tourism sectors.