Humans perform activities collaboratively or individually, and these activities, more often than not, involve both physical and mental processes. However, irrespective of whether individual or collective functioning, knowledge creation is a personal experience. Nevertheless, the general tenet of this paper is that knowledge is created in a human’s mind and resides in the head. Hence, it posits that knowledge creation is cognitive (associated with the neurological structures of the brain) and psychological (involving consciousness)—a psycho-cognitive process. This study thus employs a “Cognaction” mechanism that is based on the assumptions captured below. The mechanism premised that the human cognitive chamber consists of 3C modes of comprehension (for interpreting stimuli transmitted to the brain by sensory organs), contextualisation (for mindful connecting of chunks to existing schemas), and conceptualisation (for evaluative reflection in a manner that leads to drawing inference and building themes or new concepts). It demonstrates that as diverse skill sets are applied to a task, they generate varieties of effects and outcomes. The outcomes though are distinctive and at the same time are cospecialised. Thus, the psycho-cognitive perspective demonstrates knowledge creation as a cocreation process and sees knowledge as a mix of cocreated, cognitive structures. In view of these, the study provides the missing explanation on how the knowledge archetypes emerged. And it provides the missing link between the belief that “knowledge is created in the head” and knowledge creation theory.