www.astesj.com 765 Blockchain Technology for Tracing Drug with a Multichain Platform: Simulation Method Erick Fernando 1,* , Meyliana 1 , Harco Leslie Hendric Spits Warnars 2 , Edi Abdurachman 2 1 Information Systems Department, School of Information System, Bina Nusantara University, Jakarta, Indonesia 11480 2 BINUS Graduate Program – Doctor of Computer Science, Bina Nusantara University, Jakarta, Indonesia 11480 A R T I C L E I N F O A B S T R A C T Article history: Received: 25 August, 2020 Accepted: 24 January, 2021 Online: 05 February, 2021 This study builds the implementation of the traceability process by conducting simulation tests using business process simulations with the implementation of blockchain technology to track drugs. This research focus involved stakeholders, including the pharmaceutical industry, pharmaceutical wholesalers (distributors/wholesalers), health services (drug stores, hospitals), consumers. Simulation methods are used to describe the distribution and traceability of drugs. Finally, the research contribution in incorporating blockchain technology to supply chain management could potentially help in drug traceability. This study provides an overview of blockchain technology capabilities to find out which stakeholders and assets are transacted on the blockchain system. A decentralized Autonomous Organization is an approach to organizing data on the blockchain that defines all stakeholders identities associated with different addresses. This process can organize each address's transactions on a special blockchain platform in this study using multichain. Furthermore, transactions that have occurred cannot be updated or deleted. This simulation also illustrates some of the blockchain characteristics that must exist, among others, transparent, distributed, immutable, and peer to peer transactions. This contribution gives supply chain management, in particular on drug distribution, stronger control over distribution. Keywords: Blockchain technology Multichain Simulation method Tracing Drug 1. Introduction Supply chain management (SCM) is a system management process that occurs to stakeholders (in general: suppliers, wholesalers, retailers, consumers) starting from the process of receiving raw materials from raw material suppliers to manufacturers, to distributing from distributors, retailers to consumers [1–4]. In SCM, distribution is the most important part to bridge every stakeholder in the SCM system. The distribution process supports the company's profitability process because it has a real impact on the related stakeholders' costs and experiences [5]. This distribution occurs throughout the industry, especially in the pharmaceutical industry [6, 7]. The distribution process occurs in the pharmaceutical industry distributing drugs from the pharmaceutical industry to wholesalers, wholesalers to hospitals or pharmacies, from pharmacies to end consumers (patients or communities) [8]. This distribution process has several problems that occur in the distribution of drugs, including a lot of data that must be identified, namely drug data, stakeholders (industry, pharmaceutical wholesalers, health services (drug stores, hospitals), consumers). Data must be integrated to ensure the distribution process is good and correct, and the most important thing is drug data tracing/tracking. The drug distribution process requires a trace process to make it easy to find out that drugs sold in the market are free from suspected counterfeit drugs. The problems that occur in distribution can be solved with blockchain technology. This technology has a more secure platform, which supports auditable storage, data exchange, data integration, data that is easy to trace, distributed data, validated data [9, 10]. Many other kinds of research have developed this blockchain technology. One of its features is the ability to trace and trace data on circulating drugs and is believed to minimize counterfeit drugs [11–16]. In its development, the existing literature is an enormous challenge to prove the implementation of blockchain technology for drug tracking/tracing in the market. Apart from the literature, this study also conducted a forum discussion group (FGD) of the pharmaceutical industry, pharmaceutical wholesalers ASTESJ ISSN: 2415-6698 * Corresponding Author: Erick Fernando, erick.fernando001@binus.ac.id Advances in Science, Technology and Engineering Systems Journal Vol. 6, No. 1, 765-769 (2021) www.astesj.com https://dx.doi.org/10.25046/aj060184