Abstract
The purpose of this paper is to provide a practical approach of prioritizing the most critical success factors influencing the supply chain performance in SMEs by using an interpretive structural modeling (ISM) approach. The MICMAC analysis has been also considered for identifying the factors having a high influential power. Our findings show that, on the one hand, the production system, flexibility, communication and planning tools, process strategy, environmental uncertainty and innovation are the major factors influencing the supply chain performance. On the other hand, relationships with customers and suppliers, marketing and quality are seen as unfavorable outcomes to the supply chain managers and practitioners. These findings may help the policy makers, managers, and practitioners in formulating the strategies and policies for implementation of effectiveness supply chain.