Business model in brief
Össur manufactures a wide range of prosthetics and bracing solutions with high standards of quality and excellence. These
high-end products are developed with an indication based innovation approach to solve the needs of our end-users. The
products are delivered to the end-users through our customers (healthcare providers) who specialize in assisting individuals
who suffer from movement impairment. The end-users are referred to these healthcare providers by prescribers and the
products are in more than 95% of the cases reimbursed by public or private insurance (payers). With the profits made,
Össur reinvests significantly to further advance products and technologies for the benefit of all stakeholders
The end-users are at the core of everything we do as they drive us to continuously innovate through our entire business model.
Our end-users include lower and upper extremity amputees who have lost a limb due to, for example, vascular diseases
including diabetes, trauma, cancer, and congenital diseases. We also help individuals who require support as they may
have, for example, developed osteoarthritis in knee or hip ligaments, incurred temporary immobilization, or require enhanced
healing after surgery.
By collaborating closely with the end-users, we gain a better understanding of their needs and challenges. In turn, we help
them to improve their mobility by providing new technologically advanced products to achieve their goals. Our involvement
with the end-user is not limited to research and development because we also aim to provide them with quality services,
directly through clinics operated by Össur or indirectly through our customer service programs.
new lower limb amputees per year
of amputations are due to vascular related diseases
is the average age of the amputations population
of new leg amputees are fitted with prosthetic solutions
Research & Development
Össur’s research & development approach is indication based, meaning that only products that have medical indication and
are clinically validated are brought to market. The aim is to deliver cost effective medical solutions that provide value
for patients and the healthcare system. When a product is designed, Össur accumulates medical and biomechanical data
during the development process to verify product safety and efficacy before launch. Also, to obtain independent clinical
evidence for product outcomes as well as health economic data, Össur initiates and promotes clinical studies in cooperation
with leading scientists, institutions, and healthcare professionals in the field.
Össur furthermore supports open collaboration within the industry and academia. An example of such an initiative is the recent
joint investment by Össur and Comau in IUVO, a spin-off company of The BioRobotics Institute (Scuola Superiore Sant’Anna)
in the field of wearable technologies. The objective of IUVO is to create wearable, intelligent and active tools for
a better quality of life. The first concrete examples are bionic bracing (robotic exoskeletons) capable of aiding and
improving the quality of life for workers in industrial and service fields, and for patients in need of improved mobility.
Manufacturing & Quality
Össur is constantly striving for increased efficiency which includes maintaining a strong global manufacturing function.
Manufacturing of advanced prosthetic solutions, including bionics, takes place in Iceland. Manufacturing of mainstream
prosthetics solutions, components and premium bracing solutions mostly takes place in Mexico. We outsource the manufacturing
of soft goods within our bracing segment to China. At Össur we continuously strive for profitability improvements, which
includes further growth of the Mexico manufacturing facility and optimization of the manufacturing footprint.
As a healthcare company, Össur complies with various quality requirements and the company has had a certified quality system
in place since 1993. We place great emphasis on quality, and being a manufacturer of medical device products, it is highly
important that quality is an intrinsic part of our processes. Össur is currently certified with ISO9001:2008, ISO13485:2003/2012
and ISO14001:2015, and is currently in the process of implementing updated versions of the 13485 and 9001 standards.
Sales & Marketing
Össur operates within a highly specialized industry. Össur’s primary customers are specialized healthcare providers who provide
and fit individuals with Össur products. Various public and private insurance schemes generally reimburse the products.
Össur sells its products through its own direct sales network as well as distributors. Össur has developed a strategic partnership
service with providers to assist them with activities such as patient documentation and reimbursement. As a result, the
Company has better access to the key stakeholders: payers, providers, prescribers and finally the patient (end-user).
Payers, providers, and prescribers
Prescribers include healthcare professionals who prescribe products based on the clinical indication of the users. These
include orthopaedic surgeons, non-surgical physicians, and emergency physicians as well as other professionals providing
Providers are healthcare professionals who provide users with prosthetic and bracing products, and related services. These
include certified prosthetists and orthotists (CPOs) working at orthopaedic and prosthetic (O&P) clinics, durable medical
equipment (DME) clinics, orthopaedic clinics, and hospitals. Many providers not only recommend specific products but
also fit and tailor-make certain products. For non-reimbursed products a provider can be a pharmacy or sports store.
Payers include government reimbursement plans or insurance companies with over 95% of Össur’s sales reimbursed by a third
party. It should be noted that reimbursement systems vary substantially between countries. In other cases, the end-user
would pay for the products out of pocket (e.g. at a pharmacy).