Improving supply chain performance is crucial as it enhances responsiveness, adaptability, and efficiency of businesses in today’s unpredictable markets. Despite the amount of research, little effort has been made to categorize and summarize factors affecting supply chain performance. In addition, few studies developed system dynamics models revealing the interrelationships between information technology and other factors influencing supply chain performance. In this paper, two objectives are fulfilled. Firstly, several factors affecting supply chain performance are reviewed and categorized according to their definitions. Secondly, the interconnections between investment in information technology and various factors impacting general supply chain performance are examined through system thinking approach. An integrated causal loop diagram is developed to comprehend the relationships among numerous factors affecting supply chain performance. It encompasses five feedback loops which are related to different aspects of supply chain including customers, organization management, suppliers, and costs. The research revealed sixty-eight factors affecting supply chain performance from the reviewed literature. Based on developed loops, it was concluded that investment in information technology directly influences customer, employee, and supplier information sharing levels, and latency in real-time information. Furthermore, the key drivers to enhancing supply chain performance, beside information technology, are related to customer satisfaction and loyalty, brand value and competitiveness, real-time information sharing, and inventory stockouts risks.