The relationships between supply chain management and its corresponding¡@variables are the focus in this research. Furthermore, this study tries to explore the¡@interaction between supply chain management and those corresponding variables on¡@both the effectiveness of supply chain and whole organization. The main variables¡@employed at this study include, supply chain strategy, supply chain ability, competitive strategy, and product diversification. Through mail to collect data, the companies with related diversification are the goals to deliver questionnaires. The results that the more a company emphasizes competitive strategies than his competitors, the better his operating performance is. However, supply chain strategy, supply chain ability, and the degree of product diversification do not have significant effect on a company¡¦s operating performance.