The effect of environmental factors on the lactation performance of crossbred dairy cattle in Ethiopia is discussed in this review. The efficiency of dairy farming systems is largely determined by the herd's lactation performance. The evaluation of lactation performance of dairy cattle is critical for the overall development of the dairy industry. Non-genetic (environmental) factors (parity, calving season, and calving year) significantly influenced common lactation performance indicators (daily milk yield (DMY), lactation milk yield (LMY), 305day milk yield (305DMY), and lactation length (LL)). Improving cow management (such as feeding, housing, disease control, and seasonal breeding) should be required to improve the lactation performance of crossbred dairy cattle.