Blockchain Applications in the Pharmaceutical Industry.

Abstract

We utilized a 4D framework using ease of implementation, novelty, necessity, and fit of the overall industry to examine the adoption of blockchain technology in the pharmaceutical industry. Based on the 2D framework of difficulty and novelty as driving factors for the development of foundational technologies in the world of business by Iansiti and Lakhani, each application was ranked and scored for the best potential implementation. The potential applications proposed in this paper can be grouped into two main categories. The first category, management, includes best-use cases, such as health records, clinical trials, and inventory systems. The second category, monitoring, highlights cases, such as pharmaceutical products, preventing counterfeits, optimizing supply chains, and addressing prescription misuse and abuse. Each application was ranked by the four metrics in the framework, giving the greatest weight to necessity and ease of implementation. Using the highlighted methodology earlier, the applications for best implementation include Prescription Drug Misuse and Abuse Prevention, Prevention of Counterfeits, Clinical Trial Outcomes, and Smart Contracts. Blockchain technology offers a new and promising solution to the pharmaceutical industry's needs. To promote the most appropriate use, each application of blockchain technology must fit within the framework of necessity, ease of implementation, familiarity amongst stakeholders, and fit of the overall industry. By using the extended framework proposed by Iansiti and Lakhani, we show how blockchain, in all these domains, shows promise to improve pharmaceutical industry performance.