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Health care administration: roles, duties and skills

February 11, 2026 

By: The Capella University Editorial Team with Dr. Ben Spedding, Academic Program Director, Health Administration for the School of Business, Technology, Health Care Administration

Reading Time: 8 minutes

Hospitals and clinics never stop moving. Every decision, shift change and patient interaction depends on people who can keep operations steady when the pace of care is anything but predictable. Those people are health care administrators.

They’re the ones who make sure systems run efficiently and patients receive the best possible care. They deal with staffing, technology, budgets and long-term planning, and keep organizations functioning even in high-pressure environments.

For working adults who want to move into leadership, build stability and make a difference in their communities, health care administration could offer a meaningful way to do it.

Dive into what health care administrators do, the essential skills they need and how you can prepare for a career that combines leadership and purpose.

What is health care administration?

Health care administration is the practice of managing, leading and overseeing the operation of dynamic, complex health care institutions. 

A health care administrator works with hospitals, clinics and other facilities to ensure that they operate efficiently, deliver quality care and comply with regulations. At this advanced level, you could coordinate staff, manage budgets, set goals and implement policies to improve patient services and organizational performance. 

Successful health care administrators demonstrate strong leadership, communication and problem-solving skills, combined with a deep understanding of financial management, health care laws and technology. 

As a health care administration professional, you can pursue multiple paths, such as health care management. With some experience, you may also pursue leadership positions. 

Capella University can help you start your career path in this field through our online Bachelor of Science in Health Care Administration degree. You’ll learn essential skills in health care systems, business, planning and management. Graduates may choose to pursue advanced degrees, which can help deepen their expertise and open potential pathways to leadership opportunities. 

But, before you jump into your health care administrator journey, you need to get a deeper understanding of the field, its responsibilities and the skills required to perform them. 

Advance your career in health sciences with confidence. Explore Capella programs now.

The responsibilities of a health care administrator

Some daily tasks of a health care administrator include:

  • Overseeing department operations 
  • Focusing on quality, safety, risk and compliance 
  • Staff management such as payroll, staff relations, HR matters, etc. 
  • Leadership activities that include mentoring, troubleshooting, serving as an organizational culture ambassador and engaging staff, among others 
  • Financial oversight of budgeting, finance and revenue cycle 
  • Driving organizational strategy and vision 
  • Serving as a resource to staff, patients, visitors and other internal and external stakeholders 
  • Business development and marketing 
  • Tracking quality indicators, analyzing and reporting quality outcomes 
  • Ensuring patient care is delivered per policy, regulation and law 

Because these responsibilities span both operational and leadership functions, Capella University’s programs emphasize decision-making, organizational strategy and communication – skills designed to help professionals build confidence and prepare for a variety of management-related responsibilities.

What skills do you need in health care administration?

According to Ben Spedding, DHA, program director of Health Administration at Capella University, effective health care administrators need a balance of leadership, analytical thinking and adaptability. Drawing from his experience leading Capella’s health administration programs, Dr. Spedding emphasizes that these professionals must combine business strategy with empathy to guide complex organizations.

Below are key skill areas he identifies as essential for success in the field.

Leadership and strategic management

Strong leadership is at the heart of effective health care administration. You need to inspire and guide teams of medical professionals, support staff and executives toward shared goals.

As a leader, you must have the ability to see the facility from a broad perspective, conceptualize, set goals and predict outcomes and potential issues. Using this data, leaders can develop and implement long-term plans that help achieve organizational goals.

Health care administration professionals must also be business-oriented to meet financial and productivity expectations.

Communication and interpersonal skills

Effective communication is essential in health care administration. You must engage clearly and empathetically with medical staff, technicians, patients, families, caregivers and executives so your message is understood.

When speaking with patients or families who may be coping with anxiety about their own or a loved one’s condition, sensitivity and reassurance are key.

Financial management

A solid understanding of budgeting, accounting and financial analysis is crucial for health care administrators to ensure that resources are used efficiently while maintaining quality care.

As a health care administrator, you may develop and oversee budgets, analyze costs, manage billing processes or identify areas for financial improvement. To do this, you need knowledge of financial management, health care economics and reimbursement systems like Medicare, Medicaid and private insurance.

Change management

Compliance plays a major role in health care administration. Administrators must be familiar with health care laws, such as the Health Insurance Portability and Accountability Act (HIPAA), labor laws and accreditation standards.

Laws, regulations, policies and technologies are constantly changing. Administrators must be adaptable and capable of making ethical decisions under pressure to implement new practices and systems into daily operations.

Analytical and problem-solving skills

Health care administrators face complex problems, such as rising costs, patient safety concerns or staffing shortages. To tackle these challenges, you must have the analytical thinking skills to evaluate data, identify trends, assess risks and make evidence-based decisions to find effective solutions.

Technological proficiency

Technology has been a driving force for change in health care administration, helping to streamline day-to-day operations and coordinate patient care.

Health care administration professionals must be comfortable with electronic health records (EHRs), data analytics tools, telehealth platforms and other digital systems. They also need to be able to leverage the latest innovations to keep up with the demands of the industry.

Relationship management

Effective relationship management is essential for health care facilities to enhance their financial performance and achieve their mission. Administration professionals must be reliable, trustworthy and honest when interacting with physicians, insurance companies, pharmaceutical companies and medical equipment companies to get the best outcomes.

Cross-cultural awareness

Health care facilities help patients of all ethnicities and backgrounds, so you should be aware of any cultural or economic barriers to quality care and how to deal with them.

These core skills help you lead with confidence, improve organizational efficiency and contribute to better patient care.

Capella understands the importance of these competencies and integrates them into every level of study, helping students apply leadership and analytical thinking to real-world scenarios. Coursework focuses on bridging academic learning with the day-to-day challenges of modern health care.

What makes a good health care administrator

According to Dr. Spedding, a well-rounded professional in the field of health care administration will have knowledge and/or experience in the following areas:

  • Revenue cycle management
  • Admissions
  • Billing, budgeting and finance
  • Case management
  • Quality assurance
  • Performance improvement
  • Regulatory oversight
  • Patient safety and risk management
  • Workforce staffing
  • Data in the health care ecosystem
  • Supply chain coordination
  • Strategic planning
  • Organizational change management

To gain the knowledge and the technical skills required to be a health care administrator, you need to get the right education. Capella University’s online health administration programs are an excellent option.

Capella offers flexible online programs designed to meet you where you are in your career. The bachelor’s degree is ideal for people starting out in health care, while master’s and doctoral programs are great if you’re seeking to leverage your experience and aspire to leadership positions.

If you already have an advanced degree in health care, a Master of Business Administration (MBA) in Health Care Management may help you transition into administrative and leadership roles.

With an online degree from Capella, you can begin advancing your career in health care administration without putting your life on hold. Our online programs let you balance work, family and school, so you can pursue your goals while maintaining your current responsibilities. Through the self-paced FlexPath learning format, available for the health care administration program at both the bachelor’s and master’s level, you can set your own deadlines and progress at a pace that fits your life.

Whether you’re a Capella student or graduate, we also offer guidance and support in career planning through the Career Development Center, so you can work toward your unique career goals.

Job titles to explore in health care administration

Positions in health care administration can vary widely depending on the type of organization, its size and your level of experience. Some roles focus on operational efficiency, while others emphasize patient services or strategic planning.

You may also find opportunities to move between institutions and specialties as your career evolves. Example roles in health care administration include:

  • Clinic manager 
  • Compliance manager 
  • Compliance officer 
  • Healthcare manager 
  • Program coordinator 
  • Program manager 
  • Program specialist 

These are examples intended to serve as a general guide. Some positions may prefer or even require previous experience, licensure, certifications or other designations along with a degree. Because many factors determine what position an individual may attain, Capella cannot guarantee that a graduate will secure any specific job title, a promotion, salary increase or other career outcome. We encourage you to research requirements for your job target and career goals.

Start your health care administration journey with Capella

Health administration is a rewarding field that allows you to make a positive impact on both providers and patients. Administrators tend to be adaptable, forward-thinking professionals who bring empathy and structure to fast-paced environments.

If you’re ready to strengthen your leadership and technical skills, Capella University can help you take the next step. Capella’s online health care administration programs support your goals with flexible learning and real-world application that fits your schedule.

Find out more about our online health care administration degree programs today.

Ready to start your health administration journey? Explore Capella Courses Now

FAQs

What is the role of a health care administrator?

A health care administrator usually manages the operations of health care facilities, ensuring efficient services, quality patient care, financial stability and regulatory compliance.

What qualifications do you need to be a health care administrator?

While some positions may require prior experience, licensure or certifications in addition to a degree, most require at least a bachelor’s degree in health care administration, business or public health. Higher positions in leadership and management need a master’s degree (MHA or MBA) or a doctoral degree and relevant experience.

Is a health care administration degree worth it?

A health care administration degree can help you gain skills and knowledge that apply to many areas of the health care field. With the right experience, these abilities may support your professional growth or open doors to new opportunities.

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