Objective:

To facilitate supply chain management and decision-making processes. The case of Latin America as an outsourcing option is analyzed to illustrate its application.

Methodology:

A taxonomy supported in Systematic Literature Review is presented to determine the logistics outsourcing strategy that a company or supply chain should develop, along with the alternatives of offshoring and nearshoring. To determine the decision criteria, a literature review is carried out and a characterization of the central criteria of the two strategies is provided.

Results:

The offshoring alternative usually provides benefits related to lower manufacturing costs and is ideal for mass production. On the other hand, nearshoring is focused on greater flexibility, which makes it ideal for products with a higher profit margin to exclusive markets.

Conclusions:

Currently, Latin America seems a great option for both offshoring and nearshoring, especially for the US, Canada, and European countries. To make this possible, governments and companies have to reformulate their political-private growth strategies focused on clear plans that promote the development of productive, logistical, technological, and innovation capacities, as well as the promotion of foreign investment, educational and scientific development, and the growth of regional demands.

Financing:

Universidad Pedagógica y Tecnológica de Colombia (UPTC).