Challenges of Adopting Blockchain Technology to Pharmaceutical Supply Chain – A Case Study from Sri Lankan Health Sector

Abstract

Ensuring the transparency of pharmaceutical supply chains is an important task to control the adverse health effects of counterfeit drugs. Blockchain technology has been widely recognized among supply chain researchers as a useful emerging technology to enhance transparency and security of various supply chains. However, the adoption of the blockchain technology in pharmaceutical supply chains is still in its infancy with only a handful of research reported to date. This paper presents the details of a conceptual model developed to explore the challenges of adopting blockchain technology to manage pharmaceutical supply chain while combatting against the flow of counterfeit drugs. The proposed conceptual model, which is based on a comprehensive review of literature, encapsulates the complex linkages between seven influencing factors namely 1) Relative advantage 2) Upper management support 3) Human Resource 4) Compatibility 5) Cost 6) Complexity, and 7) Technological Infrastructure and Architecture. The factors evaluated in the framework interact and impact one another. The proposed framework can be utilized as a starting point for implementing blockchain applications in the pharmaceutical supply chain as well as by academics to develop, refine, and assess blockchain based research. As factors have been identified, practitioners will be able to develop a strategy for implementing blockchain in the pharmaceutical supply chain