Summary: The dynamical Lie algebraic approach developed by Alhassid and Levine combined with intermediate picture is applied to the study of translational-vibrational energy transfer in the collinear collision between an atom and an anharmonic oscillator. We find that the presence of the anharmonic terms indeed has an effect on the vibrational probabilities of the oscillator. The computed probabilities are in good agreement with those obtained using exact quantum method. It is shown that the approach of dynamical Lie algebra combining with intermediate picture is reasonable in the treatment of atom-anharmonic oscillator scattering.