Why Nurses Need Solid Business Knowledge in Healthcare
Registered nurse Dr. Margarita David explores how a Mini-MBA can help you navigate the business of healthcare so that you are able to confidently communicate about aspects of healthcare business administration with all levels and units in your organization
My first professional degree was in Business Management and Administration. So, I can tell you, hands-down, that having a business background has helped me tremendously when navigating healthcare from the bedside. My business background gave me the confidence needed when leading a meeting full of top healthcare executives regarding practice and policy changes that would have financial implications, but ultimately result in positive patient outcomes.
As nurses, we gain clinical experience in different areas of patient care but eventually start “wanting more” out of our everyday professional responsibilities. Personally, after about four years of working in direct patient care, I craved more education. However, I chose the common pathway, which included getting an advanced degree in nursing education. I did this without looking at the other available options, especially when wanting to be more involved in the decision-making process of nursing instead of implementing the protocols. Because I had a business degree, I could have easily transitioned into a Master in Business Administration (MBA) degree. But, because of my nursing background, a clinically-focused degree was the most common pathway. Additionally, the timeframe that many programs have to complete an MBA turned me off from that route. But if programs like the Mini-MBA in Healthcare were available, who knows, maybe I would have gone for it!
An MBA complements a nursing degree in so many ways. A Mini-MBA is an excellent alternative to the MBA because it:
- Is affordable
- Is led by world-leading faculty, top executives, and champion athletes
- Provides healthcare professionals with the training and skills to navigate the business of healthcare
- Is an excellent option when wanting to be part of the leadership team
Why do nurses need business knowledge?
- Clinical skills: Nurses in executive or leadership positions bring clinical and patient-care skills to the table. With clinical and business knowledge, you have a say in implementing change.
- Management and leadership opportunities: Business knowledge gives you a competitive edge when applying to management and leadership positions. Opportunities include becoming a nurse administrator, director of nursing, and even chief nursing officer.
- Higher salary: Having business knowledge not only helps you navigate the business of healthcare but also comes with a nice pay increase. According to the U.S. Bureau of Labor Statistics, the 2020 median pay for nurse administrators was $104,280 per year ($31,680 more per year than registered nurses).
- Less bedside burnout: What is the number one reason registered nurses want to advance their education? You guessed it: bedside burnout. Many nurses choose administrative positions to leave the bedside. However, when it's time for a promotion to an administrative position, many hospitals give preference to nurses with an advanced degree.
You don't need a full MBA to move into leadership positions. What you need is a practical approach to gaining real-world knowledge, business fundamentals, and a strategic mindset to help organizations grow and thrive.
OpusVi and Eller Executive Education’s Mini-MBA in Healthcare prepares you for current healthcare business administration. It teaches you how to strategically communicate and make decisions that will solve real business challenges that will result in positive results.
How to improve healthcare delivery for baby boomers
It is clear that the healthcare system needs to adapt in response to the rising number of retiring baby boomers. Here are some practical steps the healthcare system can take to accommodate this large, aging population.
1. Grow the healthcare workforce
Many baby boomers have had long careers in healthcare services. As these individuals retire, new healthcare leaders must emerge to fill open positions at hospitals, clinics, long-term care facilities, and other healthcare settings.
The New York Times points out that there is already a shortage of pharmacists, nurses, healthcare aides, and social workers with specialized training in elder care. The healthcare industry must train more workers to prepare for the baby boomer retirement crisis.
2. Train more care providers to support aging at home
Many baby boomers are choosing to remain at home in their old age rather than move to retirement communities or assisted living facilities.
Baby boomers value their independence. Although many solo boomers prefer to live in single-family homes, older adults who live alone tend to struggle more with tasks such as managing medications, withstanding wounds, and getting proper nutrition. They are also more susceptible to scams and often suffer from loneliness.
The healthcare industry needs to incentivize preprofessionals to specialize as geriatric nurses and other caregiving roles in order to meet the needs of baby boomers who wish to remain at home.
3. Leverage new healthcare technologies
The baby boomer retirement crisis offers exciting opportunities for telehealth and emerging healthcare technologies.
Baby boomers are open to using new technologies that make healthcare more convenient and affordable. Advancements in telehealth connect patients with doctors in real time from home, saving time and money while also helping detect health issues early.
Mobile and online platforms facilitate communication between patients and their doctors. With encrypted, cloud-based storage, baby boomers can easily access their health histories and treatment plans through easy-to-use digital devices. Digital technologies that evolve with customizable digital health platforms can also provide them with a sense of independence and agency regarding their health.
Some desirable telehealth components for baby boomers include:
- Symptom tracking
- Medication schedules and reminders
- Patient education
- Well-being support (including mental health services)
4. Develop dignified, affordable residential communities
The baby boomer retirement crisis poses questions about where retirees will live once they require extensive medical care. Although many baby boomers will prefer to remain at home, the need for senior living communities will likely increase.
Around 40% of baby boomers over 65 currently live alone, according to the Pew Research Center. Twenty percent of baby boomers have no children, and yet another 20% are aging alone without a partner or nearby family. This means that many older adults cannot rely on the traditional safety net of close family to care for them as they age.
To combat what some have called an “epidemic of loneliness,” many baby boomers are choosing to live communally in their golden years.
Healthcare administrators and developers can keep the specific wants and needs of baby boomers in mind as they create functional, modern facilities distinct from traditional assisted living facilities. Senior living communities may be especially attractive to baby boomers if they include:
- Indoor and outdoor recreation to support a healthy lifestyle
- Communal cooking
- Activities for socializing, including cultural events
The biggest barrier keeping older adults from living in such residential communities as they age will be cost. Healthcare facilities should offer flexible financing options to make these communities more accessible to people from different income groups. Shared units, and spaces that cater to roommates in addition to couples, may also help to make senior living facilities more affordable.
Pursue a career in healthcare management
Healthcare is reaching a tipping point. Healthcare leaders must have the skills and training to address the baby boomer retirement crisis and make institutions more efficient and flexible.
If you’re interested in leading a positive impact in healthcare, explore the Master of Business Administration in Healthcare offered by Northern Arizona University, in partnership with OpusVi. This online degree program is informed by leading healthcare industry experts and features foundational business courses recontextualized within a healthcare context. Through a blend of lecture-based courses, an applied practicum, and direct engagement with healthcare professionals, our MBA in Healthcare will arm you with the leadership, communications, and collaboration skills to affect meaningful change in healthcare at an organizational level.
Sources:
- Centers for Medicare & Medicaid Services, January 2021 Medicaid & CHIP Enrollment Data Highlights
- Forbes, “After One Year of Covid-19, America’s Retirement Crisis Is Little Changed”
- Forbes, “Is the Assisted-Living Community Ready for Solo Agers and Baby Boomers?”
- Forbes, “Studies Confirm That Half of Americans Struggle with Retirement”
- Global Encyclopedia of Public Administration, Public Policy, and Governance, “Silver Tsunami of Retirement: Implications for Consideration”
- International Review of Business and Applied Sciences, “Baby Boomer Employees’ Influence Upon the Health Care Sector”
- JAMA Health Forum, “Saving Medicare for Baby Boomers and Beyond — A Looming Fiscal Crisis”
- Pew Research Center, “The Pace of Boomer Retirements Has Accelerated in the Past Year”