A novel decoupling control method based on singular value decomposition (SVD) is proposed for multi-input-multi-output (MIMO) processes with time delays in this paper. A control scheme with Smith delay compensator is employed, where PI controllers are designed via internal model control (IMC) criteria. PI controllers are disposed with two unitary matrices derived from SVD, and then decoupling controllers are obtained. Noteworthy improvements of the proposed method include not only wide adaptability, i.e., square system and non-square system, but also its convenience of quantitatively regulating response performance. Moreover, the method overcomes the effect of model error caused by approximation and parameter perturbation. Two illustrative examples are provided to demonstrate the effectiveness of the proposed method, the improvement of dynamic quality and resistance to model error. The integral of squared error (ISE) performance criterion is applied to evaluate the design method.