Purpose – The purpose of this paper is twofold: to understand how recent developments in systems thinking and social construction can influence understanding of knowledge transfer (KT); and to propose a new systems-based knowledge transfer model. Design/methodology/approach – The paper is a review of the literature on knowledge transfer, systems thinking and social construction leads to the proposal of a new KT paradigm. Findings – The Dynamic Knowledge Transfer Capacity model (DKTC) found in this paper identifies the components required for social systems to generate, disseminate and use new knowledge to meet their needs. The model includes pre-existing conditions, (need and prior knowledge) and four categories of capacities (generative, disseminative, absorptive and adaptive/responsive) that social systems must possess for KT to take place. Research limitations/implications – The paper shows that the DKTC model is particularly well suited to analyzing complex systems with ...