The blockchain technology has emerged as one such revolutionary solution to solving some major problems in the field of supply chain management that include information asymmetry, non-traceability, frauds and inefficiencies. In this paper, a novel methodology for managing the supply chain through the use of blockchain technology and improved consensus mechanism is proposed. The proposed methodology incorporates the use of permissioned blockchain along with an improved consensus algorithm known as the Delegated Proof of Stake (DPOS) which uses the concept of reputation-based voting and incentives. The performance improvements of the proposed system have been validated through the agent-based simulations of a four-tier supply chain model and are observed to be as high as 30.8% in service level improvement, 23.7% in cost saving and 30.8% in inventory reduction.