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What is the Difference Between Healthcare Management and Hospital Management in India

  • BY Saurav Anand

  • Jul 30, 2021


Globalization, as well as multinational corporations’ business models, have made outsourcing common practice in the current economy. However, outsourcing isn't considered feasible for the healthcare sector. As a result, it creates a variety of career opportunities for aspirants in India who want to pursue a career in healthcare.

Every sector of the economy, including healthcare, requires management skills. Every department in a healthcare company or hospital has to function efficiently and at a cost-effective level. These conditions are crucial for ensuring that organizational operations meet the needs of its personnel. Healthcare management and hospital management are two careers that support the careers of business and healthcare professionals in the healthcare field, as they offer a multidimensional approach to research and practice both. Though both terms are often used interchangeably, there are noteworthy differences between them both.

What is Management in hospital administration?

Graduates of the Master of Hospital Administration program (MHA-Hospital) are prepared to lead hospitals in a rapidly growing market. In an increasingly complex technical environment in which people have broad skill sets, hospital management has become a much more challenging task, requiring new medical professionals among health workers who can provide a humane and caring environment to the sick. By preparing students for roles in the hospital sector, including planning, operational, and project management, and orientation in clinical and support functions, the  Master of Hospital Administration (Hospital) program prepares students for leadership roles in the hospital sector. In addition, participants gain managerial skills and develop perspectives, attitudes, and capabilities that are crucial for successful people management. There is an option to complete the  Master of Hospital Administration (Hospital) degree program over a period of up to 5 years after registration, but the program is designed to be completed in four semesters over two years.

Hospital jobs are available for graduates of the Master of Hospital Administration (Hospital) program both in the public and private sectors.

In addition to managing various hospitals' departments, they plan and design new services and facilities. Employers from multinational corporations as well as trusts and foundations have employed students in the past. The health care IT and insurance industries have also been a source of employment opportunities in the past few years.

What is Healthcare Management?

Management of healthcare organizations involves overseeing financial, operational, and business aspects. Managers of healthcare organizations are often business people and not medical professionals. Health managers are responsible for a variety of things, including the following:

  • Analyzing and designing business, marketing, and initiative policies
  • Communicating and evaluating the business strategy
  • Policy implementation and organizational procedures
  • Data collection, analysis, and interpretation
  • Risk assessment and management
  • Employers and their training
  • Patient care of the highest quality
  • Care providers negotiating with each other
  • Improve the efficiency of physicians and other executives by coordinating their efforts
  • Maintaining public relations and communicating with stakeholders

Synopsis MBA in Hospital Management

The term "hospital management" is used by healthcare experts to describe how healthcare providers handle everything from patient registration to appointment scheduling, prescription drug safety, and lab data management. report generation, staff management, outpatient management, and much more."

Finance is a key part of MBA Hospital Management with topics such as accounting and hospital administration. Medical graduates may also find the MBA course beneficial for establishing and operating their own hospitals, which is why it is also recommended for those with medical degrees.

There are several options to choose from when it comes to MBA Hospital Management careers. In the current climate of healthcare delivery, it is imperative that hospital managers handle the business side of health care delivery, which includes planning, budgeting, and searching for ways to improve patient care

The meaning of Hospital Management

An essential part of hospital management is overseeing and facilitating physicians, nurses, and other healthcare professionals at the hospital, as well as ensuring the smooth operation of the institution. Healthcare managers' responsibilities are largely the same as those of hospital managers, except that they deal with different specialties. Managing a hospital requires outstanding decision-making abilities and the capability of handling stress, as the environment is highly unpredictable.

The hospital manager is more involved with the frontline physicians, while the healthcare manager is restricted mainly to business and administration. A hospital manager should be knowledgeable about interpersonal skills, training, and leadership. In contrast, a healthcare manager should possess the know-how and experience in critical analytics.

Career Opportunities for Hospital and Healthcare Managers

Even though the lines between the two professions are fine, they both require a similar level of interdisciplinary knowledge and skills to pursue lucrative careers. Those educated in health and hospital management are sought after by various organizations and institutions, including hospitals, nursing homes, clinics, mental health organizations, rehabilitation centers, consulting firms, insurance companies, healthcare associations, and NGOs.

Key Difference

  • The healthcare industry is adopting a new management method called Healthcare Management. The field involves hospital administration, mergers and acquisitions, and network administration. In contrast, Hospital Management is a facility that offers healthcare management services to hospitals.

  • Two words that sound similar are sort of similar in meaning. Hospital Management is often used interchangeably with Healthcare Management. It is worth noting, however, that both terms have subtle differences.

  • There is a growing field of healthcare management that manages the business aspects of clinics and healthcare facilities. In the management world, this theory is new. Several individuals work together at the center, but the main role is played by the healthcare manager. An organization's main purpose is to provide appropriate resources and support to its physicians, nurses, and other healthcare professionals, and the healthcare manager is primarily accountable for providing these resources and support.

Decision-makers are needed in many settings in the healthcare system due to the multiplicity of settings including

  • The clinics
  • Consultancies
  • Insurance companies
  • Associations related to healthcare
  • Hospitals
  • A nursing home
  • The practice of medicine
  • Psychiatric organizations
  • Departments of public health
  • Hospitals and rehabilitation centers
  • Healthcare facilities with skilled nurses
  • Research institutions and universities

However, hospital management is a setting where various treatment procedures are carried out, including medical, surgical, psychological, etc. It is vital that the hospital manager oversees the physicians, nurses, and other healthcare professionals so that everything they need to perform their duties well is available.

A hospital's management is responsible for nearly everything that happens there. Tools, material, staff, and medical issues should be resolved by these people. It has become imperative for hospitals to have an effective hospital management team. For a hospital to function smoothly, it requires qualified professionals. To identify those who are qualified to become hospital managers, several courses and training programs have been developed.

The following are some differences between healthcare management and hospital management

  Healthcare Management

Hospital Management

An overview of the situation

In the management industry, healthcare management represents a new approach. A hospital administrator is responsible for governing hospitals, hospital networks, etc.

A hospital management facility provides hospital management services.


Communities rely on hospitals to provide security.

The hospital's policies and procedures are more directly influenced by them.

The responsibility of the manager

  • As its main job is to support the organization, not to deal with emergency issues, which are unlikely to arise in this scenario, it doesn't need to pay much attention to the day-to-day activities of the organization.

  • He/she is not on the front line of healthcare.

  • Provides hospitals with support and ensures that they operate as safety nets in their communities.

  • Policy and procedure are set by him/her directly.

  • Work is performed onsite, where issues arise frequently.

  • Handles any issues that may arise in the day-to-day operation of the hospital.


MBA Healthcare Management: Course Highlights

Course level Postgraduate
Duration 2 years
Examination Type Semester
Eligibility An undergraduate degree in any discipline with a minimum 50% mark in the aggregate
Admission process Entrance exam conducted by colleges, GD & PI
Entrance Exams CAT, MAT, XAT, GMAT, CMAT etc.


Career Opportunities in Healthcare Management

  • MBA students can benefit from this program. Medical device, pharmaceutical, and diagnostic companies, as well as health insurance companies and healthcare IT companies, provide an array of career opportunities for MBA Healthcare Management students.
  • Medical Practice Managers, Hospital Administrators, Healthcare Managers, and other higher-level positions in healthcare, with an average salary range of INR 5-12 lakh per annum, are some of the positions MBA Healthcare Management graduates can hold.

There are several types of MBAs for Healthcare Management

You can acquire an MBA Healthcare management degree in a variety of ways, including complete one-year programs, executive MBA programs, and full-time MBA programs. The purpose of this is to cater to students with varying interests and needs. Here are some examples:

MBA Healthcare Management full-time (2 years)

  • The MBA Healthcare Management Program focuses on Healthcare related subjects for two years full time. MBA two-year courses are offered by many recognized colleges and universities. There should be minimum eligibility criteria in order for a student to be considered and a significant percentile cut-off should be met for any entrance exam such as CAT, GMAT, CMAT, XAT, MAT.

  • The candidates will also have to sit for Group Discussions and a Personal Interview, where the administration will evaluate their oral fluency, their ability to handle real-life problems, and their managerial ability. The Administrative body of the institute conducts a group discussion round as well as an interview round. There may be differences in selection procedures from college to college.

  • This MBA program is designed to be almost similar to the normal MBA program, except that it includes some advanced courses learning about healthcare-relevant case studies and projects.

Executive MBA Healthcare Management

This program is designed for individuals who are already working for any corporate sector and are seeking to pursue a higher-level MBA. Basically, it targets applicants who are currently working in their field and who wish to improve their skills for a higher position. Full-time MBA courses differ from Executive MBA programs mainly in terms of the course structure.

One Year MBA Healthcare Management

  • This one-year MBA program focuses primarily on the training of corporate executives relating to healthcare services coordination for corporations.

  • An MBA Healthcare Management Program is available for students seeking more experience through practical or project-based work. By using Project work, it not only aims to train but also to help in critical thinking analysis, so they can manage direct and coordinate medical care.

What is an MBA in Hospital Administration?

  • An MBA in Hospital Management is a full-time course of two years requiring a bachelor's degree from an accredited institution in any field as the minimum requirement. Two years of the program are divided into four 6-month semesters.
  • Students from medical and non-medical backgrounds can enroll in MBA in Hospital Administration programs. An entrance test containing MCQs and a group discussion is followed by an interview and entry into the course.
  • In an MBA program, you will learn the skills necessary to manage and plan in health services, hospitals, and healthcare industry units. The program's syllabus aims to prepare graduates who have competent and efficient management abilities, including knowledge of public health, health care structures, organization and financing, and skills in law and ethics, in addition to their need to be highly proficient in mathematics.
  • Besides accountants, such graduates are employed in many other fields, including health finance managers, medical directors, blood bank administrators, hospital business managers, food service managers, etc. Pharmaceutical companies, health insurance companies, public health departments, hospitals, nursing homes, government agencies, mental health agencies, and so on, may offer employment opportunities.
  • A typical course fee in India varies from INR 1.5 lakhs to INR 7 lakhs per year; meanwhile, the expectation of annual salaries varies from INR 2 lakhs to INR 10 lakhs for such professionals.

MBA in Hospital Administration: Course Highlights

Course Level Post-graduation
Duration 2 years
Examination Type Semester System
Eligibility Bachelor’s Degree in any field
Admission Process An entrance exam in the form of multiple-choice questions followed by a discussion and interview

Does the MBA in Hospital Administration have eligibility requirements?

Candidates seeking admission to this MBA program must meet the following minimum requirements:

  • An undergraduate degree in any subject with an aggregate grade point average of at least 50%.
  • For SCs, STs, and other backward classes, graduation in any stream with at least 40 percent in the aggregate is required
  • The admission process for MBA programs is generally conducted via CAT, XAT, MAT, or CMAT.

Where can I apply for admission to the MBA in Hospital Administration program?

  • MBA candidates must have a bachelor's degree in any subject in order to pursue the course. Depending on the institute offering the course, the candidate must meet certain eligibility criteria to be admitted.

  • MBA candidates must meet the requirements of the relevant entrance exams. Examples include CAT, MAT, and XAT. In India, over 99% of the institutes offering this course admit students based on their performance in the admission test, an MCQ-based test that lasts an hour and includes an interview and group discussion.

  • Once the entrance exams have been registered and taken. The short-list is determined by the merit of the candidates or by the score of their entrance exams. Prior to taking admission to the program, universities organize Counseling sessions, Interviews, and Group Discussions.

MBA in Hospital Administration Scope and Job Opportunities

  • Students who complete the program graduate with a business management degree in healthcare administration as well as quantitative and conceptual skills that are required in today's high-performing clinical settings.

  • In both the private and public sectors, they may find employment in pharmaceutical companies, health insurance companies, public health departments, hospitals, laboratories and clinics, mental health agencies, nursing homes, etc.

  • The candidate who studies the MBA in Hospital Administration will learn management principles and efficient business handling, as well as the details of inputs into medical facilities and hospitals all over the world. The candidate will gain management experience and be able to supervise the timely and efficient provision of medical care for patients.

Jobs offered in Hospital Management

  • Healthcare Finance Managers A person who oversees the day-to-day financial activities of healthcare organizations and who is responsible for budgeting, financial planning, financial analysis, and reporting daily financial activity. Managing insurance and healthcare financing is a highly dynamic job that requires managers to pay attention to the latest insurance and healthcare financing regulations and options in order to efficiently handle payments.
  • Medical and Health Service Management Responsible for planning, directing, and coordinating the health care services provided by the provider in order to meet timely and efficient service standards.
  • Hospital Administrators Provides healthcare services, ensuring that patients are cared for efficiently and effectively. Recruiting staff, such as doctors, interns and nurses, will also fall to hospital administrators. Multiple administrators may be in charge of different departments in large hospitals
  • Medical Director In clinics, hospitals, blood banks, and more, ensuring that treatments are administered correctly and timely. Assigning staff to patients and handling patient grievances are among the responsibilities they handle. It is often the medical directors' responsibility to oversee the ethical conduct of the organization they work in.

Career Scope of Masters in Hospital Administration

Among the many courses offered by the hospital administration program, MHA specializes in administration, management, and the centralized management system for patients. You will get an impression of the manager of the entire healthcare system. As the hospital field continues to grow at a rapid pace, a master's degree in hospital administration assumes a huge significance.

Recent events, such as COVID-19, have resulted in an increase in demand for competent and experienced healthcare executives in the past year.

  • Health executives,
  • Coordinating project teams,
  • The project manager,
  • Heads of marketing,
  • Executives,
  • A broad range of careers is available to insurance executives, including nursing, BHMS, BDS, MD, and MBBS.
  •  Health care professionals have taken advantage of this multidisciplinary approach. A wide range of management is also available in healthcare groups, such as vaccinations and international patient management, rehab centers, and daycare centers. In order to manage these systems and to upgrade them, specialized and powerful management is required.
  • In the master's program in hospital administration, you will learn how to organize, plan, staff, evaluate, control, and manage hospitals. In the field of hospital administration, specialized skillful professionals are required in order to provide quality, safety, and satisfaction.
  • So if your interests are in the health industry, patients, management, leadership, then you should consider admission into the master's program in hospital administration.


Colleges Offering Healthcare Management

Top MBA Colleges for MBA in Healthcare Management in India. If you are looking for MBA in Healthcare Management Colleges in India, below are the top management institutes with  MBA Healthcare Management Course

MBA Healthcare Management program offered by top institutes

Name of the Program

The Duration and Mode of the study

IIM Calcutta

Post Graduate Certificate in Healthcare Management (PGCHM)

On-campus 1 year full time

ISB Hyderabad

Advanced Management Programme for Healthcare (AMPH)

On-campus 1-year full time

FMS Delhi

MBA Executive (Health Care Administration)

On-campus 2 years (Evening) Programme

TISS Mumbai

Post Graduate Diploma in Healthcare Quality Management (PGDHQM)

Hybrid on-campus/online; 1-year dual mode

Symbiosis Institute of Health Sciences (SIHS) Pune

MBA in Hospital and Healthcare Management

2 years on campus, full-time

Welingkar Institute of Management Development & Research (WeSchool), Mumbai

Post Graduate Diploma in Healthcare Management (PGDM-HCM)

2 years on campus, full-time

K J Somaiya Institute of Management Studies & Research, Mumbai

MBA Healthcare Management (MBA-HCM)

2 years on campus, full-time

BITS Pilani

MBA in Hospital & Health Systems Management

Online; 2 years program with 2 hospital immersion sessions at CMC Vellore and Bombay Hospital`


PGDM in Pharmaceutical Management

2 years on campus, full-time

IIHMR University Jaipur

MBA Hospital and Health Management

2 years on campus, full-time

Dy. Patil University, Navi Mumbai

MBA in Health & Hospital Management

2 years on campus, full-time


You may want to know these additional details

What is healthcare Administration?

The administration and management of healthcare institutions provide vital non-medical support functions such as general management, coordination, and postoperative care which are essential to their success and reputation. They plan and design business and fund-raising schemes, manage institutional finances, maintain hospital facilities, operation theaters, hospital rooms, and wards; handle personnel and supply management; and supervise support services such as laundry, catering, cleaning, and transport. A health administrator's job duties are determined by the institution they serve as well as by their specialist skills and interests.

Health administration postgraduate programs can be found at several prestigious institutions. Some of the Institution included are:

DY Patil, School of Management

GITAM Institute of Management

SAGE University, etc.

Healthcare Management vs. Healthcare Administration

Healthcare Management

Healthcare Administration

Management is responsible for the overall wellness of the organization, while the administration is responsible for training and employee employment.

  • Recruiting employees for a specific department may be the job of the healthcare administrator, but it is the healthcare manager who determines whether another employee should be hired.
Managers in healthcare organizations are typically focused on the business side of healthcare.
  • As a healthcare administrator, you will decide what steps to take to help your staff be more productive, and you will ensure your facility provides your patients with the best treatment possible.
Health care managers determine a treatment plan, how many staff to have in each department, and how operations should be conducted. Hospital administrators tend to focus on working with the staff, while healthcare managers are concerned with the big-picture needs.
  •  Administrators typically oversee individual departments in hospitals, while healthcare managers oversee hospital-wide issues.

In spite of their different responsibilities, healthcare managers and healthcare administrators often work together, particularly when new policies or technologies are being implemented. It is possible for a single person to handle the roles of both administrator and manager in smaller settings (such as private practices).

Frequently Asked Question

What is the Difference Between Healthcare Management and Hospital Management in India?

Is Healthcare Management and hospital management the same?

During medical or hospital-related studies, health care management courses are taught.

During medical or hospital-related studies, health care management courses are taught. A course relating to hotel management is hospitality management.


What is health care and hospital management?

  • Regardless of the name, the field of health administration, care administration, medical administration, or healthcare management deals with the management of public health systems, medical care systems, hospitals, and hospital networks at all levels of education as well as research.


What is the difference between hospital administration and healthcare administration?

  • A hospital manager should remain visible throughout the organization to keep in touch with frontline practitioners, while a business manager may concentrate mostly on administration. The knowledge and experience of healthcare managers may be a greater asset in driving healthcare decisions.


Is healthcare management a good career in India?

  • In India, the healthcare industry is experiencing rapid growth. Healthcare management and hospital management jobs are expected to grow due to the growth in the sector. The Indian healthcare industry will reach $372 billion in size by 2022.

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