Using pegboard to organizer tools (including kitchen spoons, knifes etc. ) is a well established practice. In this project I put the pegboard inside the picture frame. Picture frame serves here two purposes: it strips pegboard off its garage-like look and it makes process of installation easy.
Step 1: Assembling the Frame
First you have to choose proper picture frame. Be sure that it has two hangers. (Board with various and not strongly symmetrically located items is not well balanced,so single hanger or string will not work). Cut the properly sized pegboard and insert it in to the frame.
Step 2: Installing the Frame on the Wall
Put the frame on the wall. I will not describe that step in details because it depends on the wall your house has. I am sure you can find on-line advises which best suites your case. Insert some pegboard hooks and you are ready to invite the chef for arranging cooking tools in a convenient and aesthetic way.
You can find this and my other projects here .