This research explores use of Design-based Learning (DBL) in an IT education as a means of improving knowledge of the design process, design outcomes, and student motivation. This study involved the implementation of Design-based Learning strategies in IS classes. Students were assigned a team-based design project with Design-based Learning approach. Then they were assessed in terms of their knowledge of the design process (Gentili et al. 2005), level of motivation (Mykytyn et al. 2008), and learning approach (deep vs. surface) (Cope et al. 2002). The results show that the design process knowledge is significantly correlated with design outcomes indicated as peer design rating and peer usability rating. The study also finds that using Design-Based Learning pedagogical approach has the potential to increase IS students’ understanding of the design process through engaging in active and authentic learning projects.