Exploring and incorporating an indigenous and ingenious knowledge of the Oromo in the formal law of the land is a crucial issue for pragmatic development of the people. Thus, it is imperative to incorporate African indigenous conflict management institutions and mechanisms into the formal conflict management institutions and mechanisms of the land. To do so the basic issues raised in this seminar are: What are the basic conflict management institutions and mechanisms of the Oromo? How the importance of conflict management institutions and mechanisms for the Oromo described? What are the basic maxim principles of incorporating an ingenious knowledge? By employing an imaginative type of descriptive qualitative research, this paper therefore specifically employed the qualitative data collected through textual data gathering methods and analyzed in the form of descriptive methods. The collected data uncovered the fact that Jarsa Arara, Shane-salge, Afarfata, Kallu and Sera Luka are among the basic conflict management institutions. To proactively protect and manage and solve conflicts crated on due process: Jarsumma, Afarfata, generation/family based fact investigations, swears, curses, and oath were employed. Likewise, incorporating different conflict management institutions and mechanisms of the Oromo into the formal conflict management institutions and mechanisms of the land helps to maintain peace and security for a long period of time; contribute in the development of our country in general and Oromo in particular in social, economic as well as political aspects. The described data on the other hands marked that theconflict management institutions and mechanisms of the Oromo fulfill the basic maxim principles of incorporation of indigenous knowledge.Although the conflict management institutions and mechanisms of the Oromo are neither imported nor transplanted, giving due attention to the valuable parts of the local indigenous knowledge helps to connect the local community with the other world communities and vice-versa.