In handwriting recognition, traditional systems have relied heavily on handcrafted features and a massive amount of prior data and knowledge. Deep learning techniques have been the focus of research in the field of handwriting digit recognition and have achieved breakthrough performance in the last few years for knowledge extraction and management. KM and knowledge pyramid helps the project with its relationship with big data and IoT. The layers were selected randomly by which the performance of all the cases was found different. Data layers of the knowledge pyramid are formed by the sensors and input devices, whereas knowledge layers are the result of knowledge extraction applied on data layers. The knowledge pyramid and KM helps in making the use of IoT and big data easily. In this manuscript, the knowledge management principles capture the handwritten gestures numerically and get it recognized correctly by the software. The application of AI and DNN has increased the acceptability significantly. The accuracy is better than other available software on the market.