The availability of an increasing competition in a rapidly changing globalized business environment makes firms of any size to offshore highly knowledge-intensive activities, thus strengthening competitive advantage of an offshoring firm on a long-term basis. Innovation offshoring enables to pursue knowledge-oriented motives abroad with a full range of benefits. This research contains a thorough review of about a hundred relevant scientific papers to explore key success factors affecting the performance of innovation offshoring. The research offers invaluable insights into the application possibilities of a successful performance of innovation offshoring. The findings, that is to say, key success factors coming mostly from literature review are uniquely coupled with the practice-oriented approach. In this way, strategic factors enable a firm dealing with innovation offshoring to identify a strategic fit between the objectives and the outcomes of innovation offshoring. The role of management team and alignment of corporate strategy as well as coherence in different steps of innovation offshoring were carefully considered. The impact of OLI paradigm on the ultimate outcome of innovation offshoring was illustrated. Transfer of innovation can be backed up on a daily basis by operational factors so that strategic objectives of offshoring firm can be achieved fully. Efficient and effective management of information flow, along with global innovation networks as well as organizational learning contribute to the achievement of successful innovation offshoring.