Exploring the Demand for Healthcare Administrators

Healthcare administration is essential for the efficient operation of medical and other health-related facilities. From overseeing budgets and resource management to implementing policies and procedures, healthcare administrators play a crucial role in ensuring that facilities have the necessary resources to deliver high-quality patient care.

While they may not have direct interactions with patients, healthcare administrators are instrumental in ensuring that facilities function seamlessly, creating policies, managing budgets, handling billing and insurance, and prioritizing the safety of patients and staff. The responsibilities of healthcare administrators will vary depending on the size and scope of the organization. Whether an administrator oversees an entire facility or manages a specific department, their common tasks include budget management, patient fees and billing oversight, staff and physician scheduling, training initiatives, improving facility efficiency, and ensuring compliance with healthcare laws and regulations.

If you prefer the business side of medicine and a role that involves enhancing the patient experience from behind the scenes, then acareer as a healthcare administrator might be for you. This blog delves into three reasons the demand for healthcare administrators is high, plus the skills, educational requirements, practical experience, and job outlook for this rewarding career field.

1. Increased Healthcare Demand for Older Generations

As the baby boomer generation, (those born between 1946 and 1964) gets older, there will be an ongoing surge in the demand for healthcare services. In fact, by 2030 all baby boomers will be 65 or older and are projected to outnumber the population of children under the age of 5. Aging increases the risk of physical disabilities and chronic diseases such as arthritis, cancer, diabetes, and dementia. Accordingly, there will be an increased demand for healthcare workers, including healthcare administrators.

As age-related health issues become more prevalent, the need for long-term care, improved insurance systems, and medical advancements will require adept management. This necessitates healthcare administrators with the expertise to address the complex challenges that arise from serving an older generation. Healthcare administrators will be tasked with optimizing operational efficiency and implementing strategic initiatives to meet the unique needs of aging patients. This includes coordinating and managing resources, streamlining healthcare solutions, arranging for long-term care, and improving billing and insurance systems. 

2. Technological Advancements in Healthcare

Technological advancements play a pivotal role in modern patient care and operational efficiency. The integration of electronic health records (EHRs), online scheduling, and virtual communications are just a few examples of the transformative power of technology in healthcare administration.

As advancements in medical technology continue to expand, healthcare administrators must stay up -to -date with the latest innovations and understand the best way to integrate them into healthcare systems. For example, patients are increasingly utilizing technology such as online scheduling, telehealth appointments, provider apps, and other digital health technologies. Healthcare administrators are key to facilitating and enhancing patient-provider communication. 

Whether it's managing patient records through medical management software or implementing integrated healthcare risk management solutions, healthcare administrators play a crucial role in overseeing and implementing technology to contribute to improved patient outcomes. Administrators need a diverse skill set that enables them to assess operational processes, ensure regulatory compliance, and strategically implement technology to elevate patient care.

3. Ongoing Healthcare Policy Changes

Ongoing healthcare policy discussions and changes continually impact the role of healthcare administrators. Put in place to benefit patients, medical professionals, and the healthcare system overall, these policies and regulations help prevent errors and miscommunication. As policies evolve, educated professionals in healthcare administration are needed to stay informed of the latest developments and adapt procedures to ensure compliance. 

Healthcare regulations encompass access to care, coverage, cost, privacy, and safety at both state and national levels. For healthcare administrators, an understanding of and adherence to policies and regulations is essential to ensuring patients receive optimal care. Healthcare policy examples include:

Patient care: Implementing treatment protocols and providing guidelines for communicating with patients and their families ensures comprehensive and effective patient care. 

• Privacy: Having a solid understanding of the HIPAA Privacy Rule, which protects patient information from release to the public while allowing the exchange of this information between medical professionals, is critical.
• Coverage and costs: From the implementation of the Affordable Care Act (ACA) to finding ways to lower costs without compromising quality of care, healthcare coverage is constantly under review and therefore requires healthcare administrators to gain and maintain a solid understanding.
• Safety and security: Establishing guidelines for handling threatening situations enhances safety and security in healthcare facilities.
• Employees: Establishing policies and procedures pertaining to employee conduct and training ensures structure and compliance. 
• Drug policies: Defining procedures for handling and administering pharmaceuticals establishes clear drug policies.

For healthcare administrators, understanding, following, creating, and implementing policies ensures best care practices for patients and within the healthcare organization. 

Increased Demand for Healthcare Administrators

Due to the consistent need for management expertise within healthcare facilities, hospitals, clinics, nursing homes, insurance companies, and more, healthcare administration is a vital, stable career field. Overall employment of medical and healthcare managers has a projected 28% job growth from 2022 to 2032 and an average annual salary of around $104,830. 

Healthcare administrators typically have a bachelor’s degree or master’s degree in healthcare administration or a related field. This foundational education equips administration professionals with essential business and healthcare fundamentals, and provides insight into daily operations, budgets, strategy, and communication.

Considering the promising career growth and earning potential of this field, investing in a bachelor's or master's degree in healthcare administration or a related field is a must for those interested in the business side of medicine. WGU’s master’s degree in healthcare administration is designed to set you up for success in leadership roles in today’s rapidly growing and increasingly complex healthcare field. 

WGU’s online, accredited degree programs are designed to accommodate the busy schedules of working professionals, with coursework available 24/7 and no set log-in times. This flexibility allows individuals to continue working and gaining valuable industry experience while pursuing a degree. Whether you're just entering the healthcare administration field or looking to enhance your career and credentials, a master’s degree in healthcare administration from WGU can help you meet your goals.