group of doctors with healthcare administrator

Healthcare Administration Skills You Need to Excel

Revised: November 14, 2025

The healthcare industry is in the midst of seismic change, with many healthcare facilities grappling with how to improve patient care, retain healthcare providers, lower the cost of healthcare, and reduce the health equity gap. As a result, there is a heightened demand for intuitive, empathetic, and effective healthcare administrators.

Healthcare administration is considered an interdisciplinary field that blends business strategy with healthcare operations. Healthcare administrators manage the business side of healthcare facilities to streamline processes, improve efficiency, and enhance patient outcomes. Their work often focuses on aligning clinical care with financial sustainability and regulatory compliance.

Healthcare Administrator Responsibilities

Healthcare administrators are leaders within the healthcare industry, often working to bridge the gap between executive leaders and healthcare providers who care for patients on a daily basis. With a background in business strategy and an advanced understanding of the complex healthcare landscape, healthcare administrators have a unique ability to increase operational efficiency as well as improve patient care at the facility.

According to the Bureau of Labor Statistics (BLS), the primary responsibilities of healthcare administrators include:

  • Developing goals for the healthcare organization, such as improving staff retention rates, increasing patient satisfaction ratings, or reducing healthcare costs for patients.
  • Working to ensure that the healthcare facility remains in compliance with all legal guidelines and requirements.
  • Creating and maintaining a budget for the facility.
  • Developing a recruitment plan that attracts and retains the most qualified and effective healthcare providers.
  • Optimizing resources at the facility to ensure that the maximum number of patients can be cared for at any given time.
  • Creating a work schedule that prioritizes operational efficiency while keeping in mind the health and well-being of the healthcare providers who work there.

The exact job responsibilities of a healthcare administrator may vary based on the size and scope of the facility they manage. In general, healthcare administrators are expected to know how to create and implement a business strategy that will improve operations at the facility.

Healthcare Administration Skills to Master

To excel in this dynamic field, aspiring healthcare administration professionals need to develop a broad set of skills. Earning a bachelor’s degree in healthcare administration is one of the best ways to build these skills through a curriculum that combines leadership, finance, technology, and ethics.

Below are the most essential healthcare administration skills for today’s professionals:

Communication and Interpersonal Skills

Communication and interpersonal skills are critically important for those who want to work as healthcare administrators. Within this leadership role, professionals are required to communicate clearly and effectively with a wide range of individuals, including patients, staff members, insurance providers and healthcare executives.

Some of the communication and interpersonal skills essential for healthcare administrators include:

  • Active listening skills, which allow healthcare administrators to understand the needs and concerns of their staff members as well as their patients.
  • Written, oral, and verbal communication skills, which help healthcare administrators convey information in a clear and relatable way to staff members and patients alike.
  • Critical thinking skills, which allow healthcare administrators to utilize the most recently available data to make evidence-based decisions within the healthcare facility.
  • Collaboration and problem-solving skills, which allow healthcare administrators to work with other members of the healthcare team to develop innovative solutions to some of the most pressing challenges facing the healthcare industry.

Leadership and Team Management Skills

Currently, the healthcare system is facing a wide range of multifaceted challenges, many of which have left healthcare providers and other staff members feeling frustrated, burnt out, and even ready to transition into other careers. To reduce the talent drain within the healthcare industry as a whole and to create a positive workplace culture, healthcare administrators must focus on leadership and team management skill development.

Some of the most effective healthcare leaders can:

  • Serve as mentors and guides to those who report to them.
  • Offer opportunities for professional development.
  • Adopt a leadership style that allows them to lead by example and to prioritize their own values within their leadership role.
  • Delegate tasks and focus on setting targets for long-term growth and development at the healthcare organization.

Financial Management Skills

Healthcare administrators are often responsible for developing, implementing, and overseeing the budget for a healthcare facility, highlighting the importance of having well-developed financial management skills. Healthcare administrators must have an advanced understanding of the organization's budget so they can effectively manage resources, hire and retain staff members, and provide patients with the best possible experience. Effective budgeting skills allow a healthcare administrator to optimize resource allocation and ensure that the organization maintains a strong financial standing in line with its long-term goals.

Analytical and Problem-Solving Skills

The healthcare industry is becoming increasingly reliant on data to prioritize evidence-based care within all facilities. As healthcare providers work to incorporate actionable insights into their daily practice to provide all patients with a personalized experience, healthcare administrators have to leverage the power of data to streamline operations, improve patient outcomes, and boost patient satisfaction ratings.

Evidence-based management is crucial to the success of any healthcare organization. Many healthcare administrators rely on data sets that allow them to improve the decision-making process in their organization. More than 90 percent of healthcare administrators surveyed reported they consult organizational data, stakeholder priorities, and professional experience to make strategic decisions for the facility they manage.

Aspiring healthcare administrators should focus on honing their analytical and problem-solving skills to be able to make strategic, evidence-based decisions in the future.

Knowledge of Healthcare Policies and Regulations

The healthcare industry is heavily regulated by local, state, and federal organizations and government entities, and healthcare administrators are charged with the complex task of understanding the ever-evolving healthcare policies and regulations in place. Healthcare administrators must actively work to ensure that the facility is always in compliance with all laws, guidelines, and regulations, many of which relate to protocols that must be in place within the facility. This requires healthcare administrators to collaborate closely with insurance companies and healthcare providers.

Those interested in a career in healthcare administration should select a degree program that allows them to develop an advanced understanding of healthcare laws, policies, and regulations. While these laws, policies, and regulations change frequently, a healthcare administration program that offers advanced coursework on this topic can provide healthcare administrators with the foundation they can rely on throughout their career.

Technical and Digital Proficiency

As technology transforms healthcare, administrators must be digitally literate. From AI-driven analytics to electronic health records (EHR) and cybersecurity, administrators are responsible for adopting and managing new technologies safely and efficiently.

Technical healthcare administration skills include:

  • Data analysis and software application proficiency
  • Understanding cybersecurity best practices
  • Evaluating and implementing healthcare technologies

Ongoing professional development helps administrators keep pace with emerging tools and innovations.
 

Emotional Intelligence and Empathy

While healthcare administrators are faced with the challenge of balancing the business needs of a healthcare facility with the demands of patients and staff members, it is imperative they focus on developing their emotional intelligence. Patient care rests at the core of the healthcare industry, and administrators and leaders need to recognize that staff members are working tirelessly to prioritize personalized care within their facilities. An empathetic approach to leadership can go a long way in helping an organization retain top talent within the healthcare industry and improve patient outcomes.

How to Develop Healthcare Administration Skills

Building strong healthcare administration skills is an ongoing process that blends formal education, on-the-job experience, and targeted professional development. Many professionals start by earning a degree in healthcare administration and then layer in certifications, workshops, and leadership opportunities over time. If you’re interested in the broader path into this field, you can explore what it looks like to become a healthcare administrator in more detail in our blog about how to become a healthcare administrator.

Earning a Healthcare Administration Degree

For many professionals, a bachelor’s degree in healthcare administration or a related field is the foundation for developing essential skills. Degree programs typically cover topics like healthcare finance, policy, ethics, quality improvement, and organizational leadership, helping students understand both day-to-day operations and big-picture strategy. Coursework often includes projects, case studies, and group work that build communication, problem-solving, and data-informed decision-making skills that are crucial in healthcare settings. A bachelor’s degree can also make you more competitive for entry-level and mid-level administrative roles and prepare you for future graduate study.

Professional Certifications

  • Certified Medical Manager (CMM): The CMM credential, offered by the Professional Association of Health Care Office Management (PAHCOM), validates knowledge and skills in medical practice administration, including areas such as finance, human resources, compliance, and patient relations, particularly in physician practices and ambulatory care settings.
  • Fellow of the American College of Healthcare Executives (FACHE): The FACHE credential is a board certification in healthcare management that recognizes experienced healthcare leaders who have demonstrated advanced competency, a strong commitment to service, and leadership excellence. It is often viewed as a “gold standard” for senior-level healthcare executives.
  • Certified Professional in Healthcare Quality (CPHQ): The CPHQ, offered through NAHQ, focuses on healthcare quality and patient safety, demonstrating that a professional has the knowledge and skills to design, lead, and evaluate quality and performance improvement initiatives across healthcare organizations. It is widely regarded as a key credential for healthcare quality professionals.
  • Project Management Professional (PMP): The PMP certification, administered by the Project Management Institute (PMI), validates advanced skills in leading and directing projects, including managing people, processes, and priorities from initiation through completion. While it is not healthcare-specific, PMP is highly valued in healthcare organizations that rely on complex projects, system implementations, and change initiatives.

Build Healthcare Administration Skills at Champlain College Online

Demand for intuitive and qualified healthcare administrators is on the rise, and employers are looking to hire forward-thinking leaders who have an advanced understanding of the healthcare landscape. 

At Champlain College Online, we offer an online Bachelor of Science in Healthcare Administration degree program that equips you with the core competencies required to develop a strategic vision for any healthcare organization. The curriculum prioritizes advanced and relevant industry topics, such as information systems in healthcare, health finance, clinical systems management, and organizational behavior, allowing you to hone the healthcare administration skills required for this dynamic industry. Request more information about our online degree programs today. 
 

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