ARCONDIS UPDATE No. 03|2017: The smarter solution

6_The smarter solution
internal and external workflows in all areas,
especially those related to compliance.
What potential possible consequences do
you see – and what are the advantages
of it?
Blockchain will impact nearly all data. It
will become the standard. Let me point
out some particularly important fields of
application along the value creation chain. In
R&D, blockchain can be used to ensure data
quality. In manufacturing, it prevents formula
manipulation and protects the authenticity of
components. In the supply chain, third-party
management is based on secure contracts –
and we have a completely unforgeable trackand-trace
system that ensures compliance
and reliable serialization. This is where you
can already observe tangible benefits today,
by the way. Even in terms of marketing and
using the products, we have a whole cornucopia
of new possibilities. With unforgeable
patient data (e.g. in Patientory, a network
based on blockchain) that is exchanged
among doctors, patients and pharmaceutical
and medical devices companies, we get
higher-quality data, more effective exc hanges
and, ultimately, more successful therapy.
These sound like major changes. How can
life sciences companies set themselves
up for success?
English
E_Within the scope of the advancing
digitalization, blockchain is becoming
increasingly ubiquitous. The technology
functions like a massive reaction accelerator:
it questions everything we know
about business models and transactions
and might ultimately change their very
essence.
Using distributed databases and cryptographic
mechanisms, blockchain creates
an invariable, manipulation-proof history
(chain of blocks) that generates data and
values. This may sound rather dull, but it has
immense disruptive potential. While we used
to rely on intermediaries such as banks,
notaries and other trusted third parties, data
and digital assets may be running the show
on their own soon – and their distribution
and access rights can be specified in detail.
Drawing from more than 15 years of experience
in technological consultancy for
life sciences corporations, Christian Unger,
Senior Manager and CFO at ARCONDIS,
is convinced: blockchain is an unstoppable
force in the industry.
In his interview with UPDATE, he shared his
views about this hot topic:
Mr. Unger, you believe that blockchain
is as revolutionary for the life sciences
industry as the spread of the internet has
been. Why do you have such strong faith
in blockchain even though it is barely
talked about yet?
Over the course of the next five years, every
life sciences company and their associates –
insurance, healthcare, and politicians – will
need to deal with blockchain. We are looking
at the beginning of a new generation of data
security and tamper protection. Besides,
the disruptive potential of blockchain is so
immense that it might threaten the business
models of these companies. Think about Bitcoin:
traditional banks are simply no longer
necessary for financial transactions if both
parties agree on exchanging Bitcoins. There
will be changes in the life sciences, and
they will have far-reaching consequences for
I believe that two factors are especially
important. The first: detailed technical expertise,
process knowledge specific to the life
sciences, and an entrepreneurial attitude.
These are crucial if you actively want to
shape these changes rather than just adapting
to them. All transaction-driven value creation
steps need to be reinvented, and new
value creation options must be developed.
Most companies, however, lack this concentrated
specialist knowledge. In our capacity
as consultants, we act as sparring partners
and oversee the entire process from the
initial idea to its intricate implementation.
Secondly, the right moment is crucial. The
large pharmaceutical companies have been
early adopters ever since, but blockchain will
require them to rethink things again. Being
able to use data and transactions automatically
will constitute a competitive advantage
in the future. Setting the course for this
future at an early stage can help companies
to save time and to be prepared.