Using Blockchain Technology to Enhance Supply Chain in Medical Sector
July 3, 2023
The healthcare sector is one of the most progressing industries that has witnessed tremendous updates in terms of innovations and technologies to offer better health outcomes with timely treatment. As we witness a huge demand for enhancing supply chain efficiency within the medical sector, healthcare firms must take initiatives to streamline processes, optimize inventory management, and utilize data analytics to gain deeper insights into patient and provider needs.
In this blog, we will learn about the significance of blockchain technology to manage healthcare supply chains and how they enable healthcare organizations to elevate the quality of patient care and generate the best outcomes for both providers and patients.
Increasing Demand for Blockchain-Based Solutions in Healthcare
Thanks to technological advances that have transformed the healthcare sector for the better. Blockchain is one of the most promising solutions that can overcome all the challenges faced by the modern-day healthcare supply chain. Using Blockchain Technology in Healthcare solutions has revolutionized the way medical supply chains work in several ways.
- Data Immutability
With the help of a blockchain-based medical supply chain solution, no data can be altered once it is stored on the blockchain. As the data is secure, there is a lower possibility of data breaches or manipulation.
- Transaction Details
Any user can see the whole transaction details of any drug or equipment, promoting transparency, which thereby helps in keeping the supply chain free from fraud, waste, and corruption.
Also Read: How Blockchain is Delivering Potential Solutions for Healthcare Industry?
- Smart Contracts
As smart contracts are self-executing, they can be helpful for the medical supply chain to automate several processes like confirming the legitimacy of items and meeting compliance with legal standards.
- Seamless Tracking
Easy tracking is another effective feature in the medical supply chain that ensures that the location and status of medical products are recorded to ensure transparency and accountability.
- Meet Regulatory Compliance
Medical supply chain solutions backed up by blockchain comply with rules such as FDA’s track and trace standards. To help the healthcare sector fulfill legal obligations and safeguard the public from fake and low-level pharmaceuticals, meeting compliance such as HIPAA (Health Insurance Portability and Accountability Act), and GDPR (General Data Protection Regulation) is helpful.
- Patient Record Verification
Using Blockchain in the medical supply chain can help in identifying patient records correctly increasing patient safety and faith in healthcare systems. These help patients confirm the authenticity and regulatory compliance of products delivered.
Embrace the Power of Blockchain Technology in Healthcare for Immense Benefits
Organizations are increasing the adoption of blockchain technology to increase overall accountability and transparency along with efficient supply chains across various industries. The healthcare sector is no exception and many health professionals are making use of blockchain to grab a wide range of medical supply chain benefits.
Whether it’s about increasing transparency or improving traceability, blockchain helps in offering multiple benefits in the medical supply chain.
Here are some of the best benefits –
Decentralization
As Blockchain has a decentralized nature, supply chain management in the medical sector can grab many advantages. By distributing supply chain management over a network of nodes instead of relying on a single central authority, Blockchain-enabled medical solutions can help to increase security and reduce cases of fraud/manipulation.
As the supply chain is distributed over several nodes in the network with a decentralized nature, Blockchain ensures the supply chain keeps running even in extreme conditions where one or more nodes malfunction.
Higher Security
Another important aspect of the medical sector is data security. Enhanced security is one of the best benefits of using blockchain in the medical supply chain, which led to the increased adoption of blockchain-based software. The healthcare records in the medical supply chain cannot be modified as they are made tamper-proof and secure using blockchain technology.
By implementing blockchain-based supply chain management in the healthcare industry, concerns regarding fraud, forgeries, and illegal behavior can be significantly reduced. This technology provides several benefits, including enhanced efficiency, better transparency, increased patient safety, improved data privacy, and enhanced trust among stakeholders.
Improved Efficiency
One of the main advantages of using Blockchain technology in the medical industry is enhanced efficiency. Blockchain can automate a wide range of processes in the healthcare supply chain, such as documenting transactions, monitoring product movement, and ensuring regulatory compliance. All of these kinds of automation using Blockchain improve efficiency, saving both time and money.
Better Transparency
The next benefit we must not ignore is better transparency with the help of Blockchain-enabled solutions. With blockchain, all stakeholders have access to the complete transaction history of any drug or medical device in the supply chain. This transparency increases accountability, reduces the possibility of fraud, and ensures the smooth operation of the supply chain.
Enhanced Patient Safety
Blockchain-based medical supply chain management enhances patient safety by improving the authenticity, accuracy, and security of medical items, enabling patients to verify the legitimacy and conformity of the products they receive. This means we can see a reduced risk of negative side effects or other harm.
Data Privacy
Blockchain technology improves data privacy due to its decentralized nature, which means there is less chance of data breaches or cyberattacks. Sensitive patient data is not stored in a single location, and encryption and other security measures are used to protect the data from unauthorized access.
From the above points, it is true to say that with the adoption of blockchain in the medical supply chain, we promote enhanced trust among stakeholders. Another best thing is producers, distributors, regulators, and patients start having mutual trust in each other due to the safe, open, and effective system provided by blockchain-based supply chain management.
Also Read: Digital Rupee in India – How Different It Is from Cryptocurrency?
Closing Statement
Undoubtedly, healthcare providers are becoming dependent on technology to manage healthcare supply chains, patient data, and insurance claims, especially after the COVID-19 pandemic. The growing demand for blockchain in the medical supply chain is to ensure the continuous availability of medical resources, medical equipment, and healthcare services.
If you are looking for reliable Blockchain Development Consulting Services to help you integrate blockchain technology effectively for a seamless medical supply chain, Clavax can help you manage connections between healthcare suppliers and customers to achieve optimal customer satisfaction at lower medical costs.
Having decade-long expertise in implementing blockchain in the healthcare supply chain, we can help you design and implement secure blockchain-based medical solutions for effective inventory management, streamlined logistics, and prevention of fake products.