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Strategies to Manage HR in the Healthcare Industry

Strategies to involve and optimize HR in various levels of healthcare business operations.

Frieda-Marié de Jager
Senior Content Marketing Editor for SSR with 14 years of technical journalism and people management experience
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Involving the HR department in various levels of healthcare business operations can create a powerful competitive advantage.

In the healthcare industry, HR professionals are expected to do much more than manage the employee lifecycle. Increasingly, companies view HR’s function as strategic, so it’s common for the duties of an HR manager to include the creation and development of a management strategy. A clear plan of action and access to resources are needed to succeed, and this article offers a big-picture perspective as well as three sure-fire strategies.

In This Article

Why is an HR Strategy Important?

Strategic HR ensures all divisions will adhere to the same standards for hiring, performance appraisal, motivation, talent management, development, rewarding employees, and building company culture.

In a healthcare company without a management strategy, HR specialists are often consigned to rush from one small fire to the next, dousing flames in recruitment, then engagement, then performance management, then back to recruitment, etc. 

Lacking awareness of consistent, strategic goals, HR staff must guide themselves through operational processes that are running independently of operational goals. This is especially true when there is organizational change, like the consolidation of departments, internal moves, or new managers.

A well-thought-out healthcare HR strategy helps to avoid these problems.

HR Strategy Objectives in Healthcare

A graphic depicting the priorities of an HR department.

The implementation of a development HR strategy begins with an analysis of external and internal factors that may affect the team. Based on these data, the HR specialist is able to create a management strategy that provides forward-looking forecasts as well as solutions to current concerns, like professional personal development of employees and developing motivation methods.

Often, HR policy and HR management strategy are aimed at preventing personnel shortages.

Key Goals of Healthcare HR Strategy

  • Increase the appeal of the company
  • Close vacancies swiftly and form a personnel reserve
  • Improve working conditions for current employees
  • Coordinate relationships within the team
  • Provide legal and organizational support for HR processes
  • Determine remuneration for various salary bands
  • Provide conditions for the development of talents and career growth of employees
  • Provide employee training and professional development

Healthcare organizations increasingly use healthcare HR software development to fortify their HR strategies. This interconnection creates a dynamic alliance that fuels organizational success.

Healthcare HR strategies often hinge on securing top-tier talent with specialized skills and an unwavering commitment to patient care, so HR software designed for healthcare is instrumental in the recruitment and selection processes.

Among other features, HR software simplifies recruitment by managing job postings, applicant tracking, and candidate evaluations. Putting great care into the recruitment, interviewing, and hiring process helps attract and sign the most qualified individuals. A streamlined process gives hiring managers more time to evaluate each candidate carefully to determine who is most aligned with their strategic goals.

How Do You Develop an HR Strategy?

Begin with these questions to build a foundational plan that is aligned with business objectives. 

  1. How are things in the company at the moment?
  2. What direction is the company moving in, and what goals is it setting?
  3. What knowledge and skills do employees need to solve current tasks and achieve future goals?

Once you have established the essential goals and cardinal directions, decide on the individual processes needed for forward planning. Below are seven suggestions, but each company is unique, so adjust as needed. 

Conduct a SWOT Analysis: A SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis is designed to be a fact-focused, evidence-driven evaluation of an organization’s efforts in the context of its industry.

Formulate objectives and set goals. Focus on the essentials first because these objectives will help calculate how many employees the company will need and what qualifications they should have.

Assess the employees' knowledge and skills: Consider their skillset in relation to the company's goals. Ensure employees have what they need to achieve the business objectives.

Develop a training program. Employee development and up-skilling staff are necessary to close knowledge gaps. A training platform (also known as a Learning Management System or LMS) can be used to automate employee development.

Attract top talent. Assess your needs and target those who are best suited to help you meet your goals. Some companies may want to attract talent with extensive experience, and others may prefer to hire less experienced individuals who can be more easily trained. In either case, tailor your message to attract the right candidates. 

Reduce employee turnover. This is a multi-faceted endeavor that includes assessing working conditions and incentive compensation, prospects, and opportunities for employee growth.

Build your internal talent pool. Assess your current employees' interests, potential, and desires in relation to opportunities that exist now or may exist in the future. Funnel this staff into your employee development program. 

Three Strategies to Manage HR in the Healthcare Domain

Here are three main types of HR management strategies in healthcare. The choice depends on what goals your healthcare company is pursuing.

Profitability and Risk Management HR strategy

In healthcare, achieving profitability while minimizing risks is paramount. This approach focuses on rigorous employee selection based on specific healthcare criteria. 

Existing staff members are held to strict standards, with constant oversight. Management places a premium on adherence to healthcare regulations and achieving precise outcomes, rewarding staff based on their contributions. Healthcare organizations with well-established administrative structures, clear regulatory frameworks, and a solid commitment to compliance adopt this HR strategy.

In the healthcare industry, this HR strategy serves a dual purpose, as it not only enhances financial performance but also ensures that healthcare providers operate with the utmost precision and regulatory compliance to safeguard patient well-being.

Key takeaways:

  • Stringent selection. Healthcare organizations employ a rigorous selection process to bring in staff with the necessary skills and qualifications.
  • Ongoing monitoring. Existing employees are subject to continuous oversight to guarantee adherence to healthcare regulations and high standards.
  • Regulatory compliance. A strict focus on adherence to healthcare regulations is non-negotiable.
  • Performance-based rewards. Employees are recognized and rewarded based on their contributions to both patient care and financial success.

By implementing this HR strategy, healthcare institutions can thrive in a highly regulated and competitive environment, offering quality care while maintaining financial viability.

Dynamic Growth HR Strategy

This approach involves meticulous process control and continuous analysis to adapt swiftly to industry changes. Employees are highly regarded for their agility, teamwork, and willingness to take calculated risks. Here are the distinctive features of dynamic growth HR strategy:

  • Adaptability and agility. Adaptability is critical in healthcare, where rapid advancements and shifting patient needs are the norm. This healthcare HR strategy focuses on nurturing a workforce that can quickly respond to medical practices, technologies, and patient demographic changes.
  • Teamwork encouragement. Collaboration is paramount in healthcare, improving patient outcomes and staff satisfaction. This healthcare HR strategy promotes teamwork and interdepartmental cooperation, recognizing the benefits of a cohesive and harmonious workforce.
  • Risk-taking with care. In healthcare, taking risks must be balanced with patient safety. This strategy encourages employees to embrace calculated risks that can lead to innovative solutions, better patient care, and operational efficiencies while safeguarding patient well-being.
  • Flexibility. This HR strategy emphasizes flexibility, enabling the organization to adjust swiftly to emerging trends, healthcare policy changes, and patient demands.
  • Continuous analysis. Regular analysis of processes and industry trends is integral to this strategy. It allows healthcare organizations to stay ahead in a constantly changing environment.

Dynamic growth HR strategy ensures that healthcare organizations remain adaptable and responsive, ultimately enhancing employee satisfaction.

Entrepreneurial HR strategy

This strategy emphasizes taking calculated financial risks to expedite realizing an organization's objectives. In this context, healthcare HR specialists seek out employees who are proactive, innovative, and capable of swiftly adapting to changing conditions. Here are the distinctive features of entrepreneurial HR strategy:

  • Innovation-driven recruitment. Healthcare organizations adopting the entrepreneurial HR strategy look for innovative, forward-thinking individuals who can drive change and lead initiatives. They encourage employees to propose novel solutions to enhance patient care and operational efficiency.
  • Flexibility. The healthcare field is dynamic, with continuous advancements in medical treatments, technologies, and patient expectations. This healthcare HR strategy encourages staff to be flexible, adaptive, and open to embracing change.
  • Competitive rewards. Competitive remuneration and incentives are used as motivators, attracting top talent and retaining high-performing healthcare professionals. This helps build a team of dedicated individuals committed to pushing boundaries.
  • Individualized approach. Healthcare HR recognizes employees' unique needs and aspirations and offers an individualized approach to motivation and development. This tailored strategy fosters a culture where employees feel valued and empowered to take ownership of their roles.
  • Fast-paced realization. Healthcare institutions employing the entrepreneurial HR strategy are willing to take calculated financial risks for the swift realization of their plans, whether it involves adopting cutting-edge medical technologies, expanding services, or pioneering new healthcare solutions.

In healthcare, the entrepreneurial HR strategy fosters a culture of innovation, adaptability, and dynamic growth.


As healthcare faces new challenges and opportunities, HR strategies must evolve. By implementing these strategies, healthcare organizations can empower their workforce to excel in a demanding industry, fostering a culture of excellence, adaptability, and innovation. 

Effective human resources management in healthcare is imperative for business. Moreover, it is a commitment to delivering the best possible care to patients, ultimately improving the well-being of communities and individuals.

Frieda-Marié de Jager
Senior Content Marketing Editor for SSR with 14 years of technical journalism and people management experience
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Frieda has been writing about technical subjects including corporate compliance, customs law, and technology for over 12 years. She holds a BTech degree in design and is a published short story author in her homeland, South Africa.

Besides being an avid content strategist, editor, writer, and graphic designer, she has spent the last 5 years developing online learning material and the last 16 years leading world-class design, marketing, and writing teams.

On weekends you can find her building Lego with the family or whipping up a storm in the kitchen.

Also featured in: ProofHub, Vantage Circle, SME Toolkit, ExpertHub, Bucketlist Rewards, Software Suggest ,HR Chief, RecruitingDaily

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