Track and trace software assigns a unique identifier to each unit of product. That identifier follows the product through every stage of the supply chain, from manufacturing to the point of sale.
At each handoff, such as packaging, shipping, and receiving, the software captures data and stores it in a central system. Trading partners query that system to confirm a product's location, movement history, and authenticity.
Manufacturers, distributors, and regulators rely on track and trace software to prevent counterfeiting, manage recalls, and meet supply chain compliance requirements.
Track and trace software gives every unit of product a digital identity, then maintains a record of that identity as the product changes hands. The system does not just log a starting point and an endpoint. It captures a continuous chain of events, so any party with access can reconstruct where a product has been and confirm it matches what it claims to be.
At the center of any track and trace system is the serial number. Software generates a unique identifier for each unit, case, or pallet, then links that identifier to a growing record of events as the product moves.
Three elements make up that record:
Track and trace software originated largely in response to pharmaceutical counterfeiting and regulatory requirements, but its use now extends well beyond pharma.
Industries with active track and trace adoption include:
The underlying software architecture is largely the same across these industries. What changes is the regulatory framework layered on top, which is most stringent in pharmaceuticals.
That cross-industry demand shows up in the numbers: Grand View Research projects the global track and trace solutions market will reach $14.3 billion by 2030, driven largely by pharmaceutical and biopharmaceutical companies focused on brand protection from counterfeit products and theft.
The process starts on the packaging line. As each unit, case, or pallet is packaged, the software generates a serial number and prints or applies it in a machine-readable format, typically a 2D barcode or RFID tag.
That initial capture creates the foundation for everything downstream:
Once identifiers exist, trading partners need a shared language to exchange information about them. EPCIS (Electronic Product Code Information Services) is the data standard that makes this possible. It defines a common structure for recording what happened to a product, where, when, and why, so that a manufacturer's system and a distributor's system can interpret the same event the same way, regardless of vendor.
Without a shared standard like EPCIS, every trading partner relationship would require custom data mapping. With it, serialized event data becomes portable throughout the supply chain.
Event data generated on the packaging line does not stay there. Track and trace software sends that data to a cloud repository, where it is stored, indexed, and made available to authorized parties.
This is where the system's real value takes shape:
The final function is verification. Any authorized party, whether a distributor confirming a shipment, a pharmacy checking a return, or a regulator conducting an audit, can query the system to confirm that a serialized identifier is legitimate and that its event history is consistent.
This lookup capability is what separates track and trace software from simple inventory tracking. A barcode alone tells you what a product is. A verified, event-linked serial number tells you whether it is authentic and where it has been.
Pharmaceutical supply chains apply track and trace software under the highest degree of regulatory scrutiny of any industry. The Drug Supply Chain Security Act (DSCSA) requires manufacturers, wholesalers, and dispensers to exchange serialized event data electronically, using EPCIS as the data standard, so every saleable unit can be verified as it moves from manufacturer to pharmacy.
DSCSA enforcement phased in by trading partner type: manufacturers as of May 27, 2025, wholesalers as of August 27, 2025, large dispensers as of November 27, 2025, and small dispensers by November 27, 2026. Each phase adds pressure on trading partners to support consistent, interoperable data exchange.
For a closer look at how pharmaceutical track and trace software addresses these specific requirements, see Track and Trace Software for Pharma: DSCSA Requirements.
AuthentiTrack is Covectra's cloud-based serialization and track and trace platform. It captures event data from the packaging line, structures it according to EPCIS standards, and stores it in a secure repository that supports verification and DSCSA compliance.
AuthentiTrack supports:
Organizations evaluating track and trace software can also review Covectra's pharmaceutical serialization services for engineering, integration, and implementation support.
Inventory management software tracks the quantity and location of goods in a warehouse or facility. Track and trace software follows an individual serialized unit through the entire supply chain, verifying its authenticity and event history at each handoff, not just its current location.
Most ERP systems are not built to generate, manage, and exchange serialized identifiers or EPCIS event data. Track and trace software typically integrates with an existing ERP rather than replacing it, adding the serialization and verification layer ERPs lack.
Track and trace software generates and manages the serialized identifiers and EPCIS event data that DSCSA requires trading partners to exchange, supporting verification, saleable returns, and traceability throughout the product lifecycle.
Yes. Food and beverage, luxury goods, consumer electronics, and auto parts companies use track and trace software for similar reasons: authentication, recall readiness, and protection against counterfeiting or diversion.
Implementation timelines vary depending on packaging line complexity, the number of lines involved, and whether a contract manufacturer is part of the process. An engineering study early in the process helps identify site-specific requirements before implementation begins.
Choosing the right track and trace platform means looking past a feature checklist and understanding how a system will perform inside a specific packaging environment, trading partner network, and compliance timeline. Covectra has supported serialization and traceability programs since 2008, working directly with manufacturers, contract manufacturers, and brand owners to implement systems built for production, not just for a spec sheet.
Contact Covectra to talk through your track and trace requirements and see how AuthentiTrack fits into your supply chain.
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