Healthcare Administration vs. Healthcare Management: What’s the Difference?
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Author: Michael Hoffman, MA, JD 
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Michael Hoffman, MA, JD 
Freelance Writer, Researcher, & Journalist
Michael Hoffman has authored close to 300 articles for higher education publications, including over 140 for EduMed across nursing and allied health. He's interviewed and collaborated with hundreds of active healthcare professionals and students. Michael holds degrees from the University of California, Santa Barbara, and the Santa Barbara College of Law. Before his writing career, he practiced as a civil litigator in Los Angeles and worked as a development executive for a major film producer in Santa Monica, California.
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Jordan Cosselman is an editor with a BA in English from the University of Nevada, Reno. Since joining EduMed in 2021, she has been focused on making nursing and allied health education more approachable for students at every stage of their journey. With three years of experience in healthcare education content, Jordan is especially interested in highlighting low-cost, fast-track pathways into the field.
Areas of Expertise HealthcareOnline LearningWhen it comes to healthcare careers, healthcare administration (HCA) and healthcare management (HCM) are often confused. While both focus on the business side of healthcare, they differ in education, daily responsibilities, and career outlook.
Video Breakdown: HCA vs. HCM
Check out Ashlie’s detailed video breakdown of healthcare administration versus healthcare management.
The biggest distinctions between healthcare management and healthcare administration appear in the education and training required to qualify for each career.
Here’s how the two compare:
| Healthcare Management (HCM) | Healthcare Administration (HCA) | |
|---|---|---|
| Required Degree | Healthcare Management (HCM) A bachelor’s degree in healthcare management is generally the minimum requirement. A master’s in healthcare management (HCM) or an MBA with a healthcare concentration opens doors to higher-paying leadership roles. | Healthcare Administration (HCA) An associate degree in healthcare administration can qualify you for entry-level jobs, while a bachelor’s in HCA offers broader opportunities. A master’s in healthcare administration (MHA) provides the best prospects for advancement. |
| Master’s Program Focus | Healthcare Management (HCM) Master’s programs in HCM cover a wide range of management topics, from health informatics to organizational strategy. MBA options blend advanced business concepts with specialized healthcare coursework. | Healthcare Administration (HCA) MHA programs emphasize managing healthcare facilities, services, and personnel efficiently and ethically. |
| Typical Coursework | Healthcare Management (HCM) Finance, accounting, leadership, entrepreneurship, economics, and healthcare operations. Most programs conclude with a capstone project. | Healthcare Administration (HCA) Health policy, biostatistics, healthcare law, HR management, and program design. Capstone or final projects are also common. |
| Key Skills Gained | Healthcare Management (HCM) HCM programs build skills in data analysis, strategic decision-making, and performance evaluation — preparing graduates to lead organizations effectively. | Healthcare Administration (HCA) HCA programs teach financial management, communication, critical thinking, and employee performance evaluation within the context of patient care. |
| Licensing & Certification | Healthcare Management (HCM) Licensing is rarely required, except for nursing home managers. State licensure typically requires a bachelor’s degree, exam, and training. Optional certifications include those from the Professional Association of Health Care Office Management and the American College of Healthcare Executives (ACHE). | Healthcare Administration (HCA) Licensure is similarly limited to nursing home settings. Certifications such as Certified Assisted Living Administrator (CALA) and Certified Nursing Home Administrator (CNHA) are available but optional. |
| Further Training | Healthcare Management (HCM) None required, except for state licensure when applicable. | Healthcare Administration (HCA) Only needed if pursuing nursing home administrator licensure. |
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Career Comparison: Core Responsibilities and Daily Tasks
The primary difference between healthcare managers and administrators lies in their focus:
- Healthcare managers oversee entire organizations, focusing on strategy, growth, and operations at a high level.
- Healthcare administrators handle day-to-day department operations and manage staff and workflow.
Healthcare Manager Job Responsibilities
Healthcare managers focus on advancing long-term organizational goals. Typical duties include:
- Developing long-term strategies for hospitals or healthcare systems
- Coordinating departments and teams to meet strategic objectives
- Improving operational efficiency and patient care quality
- Overseeing recruitment, hiring, and leadership staffing decisions
- Representing the organization publicly or with government agencies
- Managing finances, budgets, and large-scale resource allocation
- Leading communication across departments and facilities
- Addressing legal and regulatory compliance on an organization-wide level
Healthcare Administrator Job Responsibilities
Healthcare administrators operate closer to the front lines, ensuring smooth daily operations within specific departments or facilities. Their responsibilities often include:
- Overseeing daily operations and implementing workflow improvements
- Tracking and managing medical supplies, personnel, and budgets
- Acting as liaison between staff, physicians, and senior management
- Monitoring patient-care metrics and quality outcomes
- Managing employee schedules and evaluating performance
- Handling training, discipline, and payroll processing
- Maintaining accurate records, data, and compliance documentation
- Assessing department equipment and facility needs
HCA vs. HCM: A Day in the Life
| Healthcare Management | Healthcare Administration | |
|---|---|---|
| Decision-Making | Healthcare Management Affects the entire organization or network. Focuses on long-term strategies and goals. | Healthcare Administration Impacts daily operations within a department or facility. |
| Job Autonomy | Healthcare Management Significant independence but accountable to executives and boards. | Healthcare Administration High autonomy within one’s department or area of practice. |
| Coworker Interaction | Healthcare Management Works closely with executives and senior management. | Healthcare Administration Collaborates primarily with frontline staff and medical personnel. |
| Workplace Challenges | Healthcare Management Long-term, complex problems involving multiple stakeholders. | Healthcare Administration Short-term, specific challenges related to operations or personnel. |
| Work Setting | Healthcare Management Primarily in office; frequent travel for meetings and site visits. | Healthcare Administration Office-based with frequent in-person interactions on the floor. |
| Required Knowledge | Healthcare Management Strategic management, finance, policy, and organizational leadership. | Healthcare Administration Departmental operations, HR, scheduling, and workflow efficiency. |
| External Interactions | Healthcare Management Works with other healthcare leaders and policymakers. | Healthcare Administration Interacts with vendors, partners, and fellow administrators. |
Salary and Job Growth
Both healthcare management and administration careers are in high demand, and both offer above-average pay and job security.
According to Bureau of Labor Statistics (May 2024) data, medical and health services managers (including HCM and HCA roles) earned a median annual salary of $137,730. The lowest 10% earned $69,680 and the top 10% earned $219,080.
Factors Affecting Salary
- Education Level: Advanced degrees typically lead to higher pay.
- Licensure or Certification: Credentialed professionals often earn more.
- Experience: Senior leaders command higher compensation.
- Industry: Private sector employers pay more, while public sector roles may offer stronger benefits and work-life balance.
- Location: Urban and high-cost regions usually pay more than rural areas.
- Performance Pay: Some organizations tie compensation to measurable outcomes.
Job Growth Outlook
The BLS projects a 23% employment growth rate (2024–2034) for healthcare managers and administrators — far above the 3% average for all U.S. occupations.
Healthcare Management Career Resources
- American College of Healthcare Executives (ACHE) – Professional organization supporting healthcare leadership excellence and career advancement.
- American Hospital Association (AHA) – Represents hospitals and health systems nationwide, offering networking and industry insights.
- American Society for Health Care Risk Management (ASHRM) – Focuses on risk management strategies and professional education.
- Healthcare Finance News – News and updates for healthcare finance professionals.
- Healthcare Financial Management Association (HFMA) – Helps executives overcome financial challenges in healthcare.
- Healthcare Information and Management Systems Society (HIMSS) – Advances healthcare quality through information systems and technology.
- Medical Group Management Association (MGMA) – Provides mentorship, digital tools, and resources for healthcare leaders.
- National Center for Healthcare Leadership (NCHL) – Promotes evidence-based leadership development and benchmarking.
- O*NET OnLine: Medical and Health Services Managers – Comprehensive job data from the U.S. Department of Labor.
- PayScale – Salary research platform with compensation data by job title and region.
Healthcare Administration Career Resources
- American Association of Healthcare Administrative Management (AAHAM) – Dedicated to improving patient data management and reimbursement processes.
- American College of Health Care Administrators (ACHCA) – Offers leadership development and continuing education for administrators.
- American Health Information Management Association (AHIMA) – Provides best practices and standards for health information professionals.
- Association of University Programs in Health Administration (AUPHA) – Network of universities and organizations advancing healthcare management education.
- BLS Occupational Outlook Handbook – Career data and projections from the U.S. Department of Labor.
- Commission on Accreditation of Healthcare Management Education (CAHME) – Ensures high-quality education standards in HCA and HCM programs.
- Health Care Compliance Association (HCCA) – Supports professionals promoting compliance and ethical healthcare practices.
- National Association for Healthcare Quality (NAHQ) – Focuses on quality improvement and safety in healthcare delivery.
- National Association of Healthcare Access Management (NAHAM) – Provides training and certification for patient access professionals.
- CareerOneStop – U.S. Department of Labor site with job search tools and education guidance.
