Despite recent enhancements in the PE curriculum in the Philippines, a substantial gap persists in actualizing educational outcomes, as evidenced by low activity levels and the discrepancy between expected and actual physical literacy competencies among college freshmen. This chapter leverages Cognitive Diagnosis Modeling (CDM) to assess the attributes of physical literacy among K-12 graduates. It discusses foundational information about cognitive diagnosis modeling and the processes done prior to formal analysis. By using real data in physical literacy assessment, this chapter provides a pragmatic orientation on CDM. Employing an adapted assessment tool alongside an empirically validated Q-matrix, it evaluates the mastery of specific physical literacy attributes within a freshman cohort at a state university in the Philippines. The chapter concludes with recommendations for curriculum reforms to create a balanced and comprehensive PE program in secondary education, emphasizing the need for enhanced teacher training to improve instructional quality and effective skill transfer.