Among all the areas in healthcare blockchain can be leveraged, the pharmaceutical industry has seen the most blockchain use.
Pharma companies use blockchain to better track medication. However, despite blockchain's promise in the industry it is still not widely used.
Heather Zenk is the senior vice president of replenishment and manufacturer operations at AmerisourceBergen, a pharma company that is using blockchain. She advocates for the expanded use of blockchain, but cautions manufacturers to get a better understanding of the technology before adopting it.
"As blockchain becomes more ubiquitous, there is the potential to scale to other healthcare settings," she said.
Here, Ms. Zenk dives deeper into blockchain's potential in healthcare.
Editor's note: Responses have been lightly edited for clarity and length.
Question: Is blockchain scalable in healthcare? Will it have the same influence as it does in the financial sector?
Heather Zenk: Blockchain is scalable but it is still an emerging solution in the pharmaceutical industry, and it is too early to tell if it will have the same influence as it does in the financial sector. As blockchain becomes more ubiquitous, there is the potential to scale to other healthcare settings. For instance, data sharing for electronic health records, clinical trials, complex business processes, or other medical research could also be advanced through blockchain technology as could benefit verification, claims processing or prior authorizations. It is important that manufacturers take steps now to understand this emerging technology and how it works, the type of data that can be preserved and how to securely share it with the right parties.
How are you using blockchain? Where do you see its biggest potential?
HZ: AmerisourceBergen is a member of the MediLedger Project, which brings together major pharmaceutical manufacturers and distributors to create a collaborative network to enable blockchain. Our experience by working with upstream and downstream partners provides MediLedger with the insights to create solutions that enable collaboration and adoption among stakeholders, two critical requirements to ensure the successful use of blockchain technology. The use of blockchain can enable the pharmaceutical industry to meet the Drug Supply Chain Security Act (DSCSA) requirements pertaining to saleable returns, while also saving manufacturers time and ensuring providers and their patients receive products securely and on time. Using blockchain, the project creates evolving solutions for track-and-trace regulations and provides a step-function improvement for overall operation of the supply chain.
What is one myth about blockchain?
HZ: That blockchain is a cure-all for the challenges related to traceability and verification. Instead, blockchain offers an innovative solution to securely share data. We have seen partners across the industry buy into the idea of blockchain, but we must now set realistic expectations about what this technology can offer as appropriate use cases evolve. It is now imperative that partners take the right steps to integrate blockchain technology in their own environments.