Change Management Theory in Healthcare 

It is difficult to execute changes in the healthcare industry because it poses various challenges that other industries don’t offer. Introducing digital technology and the latest tools and equipment facilitates your business processes and various daily operations; it results in the form of increasing growth and profitability. Today, we’ll discuss change management theory in healthcare; its definition; key statistical facts and figures; driving forces; strategies and models; benefits, and challenges.

Key statistical facts and figures about change management theory in healthcare are as follows;

  • Approximately 35% of the working hours in the healthcare industry could become automated
  • AI technology has automated 15% of the working hours in the health industry
  • EHRs (electronic healthcare records) adoption rate has increased by 20% to 95%
  • The US government invested billions of dollars in digital transformation, but it didn’t offer any fruitful results

What is Change Management Theory in Healthcare?

Change management theory in healthcare offers a structure and strategic approach to plan, execute, evaluate changes; and transform from the existing state to the desired state. A strategic approach to change management would make sure that the company would make sure that the company would its goals and objectives with limited negative impact on the following;

  • Involvement of stakeholders
  • Engagement of team members and staff
  • Outcomes patients

If implemented effectively, it allows you to decrease the resistance level among employees and team members. It develops and promotes an organizational culture that focuses on value transformation and continuous improvement.

Driving Forces of Change Management in Healthcare

Some of the main driving forces of change management in healthcare are as follows;

Shifting Behavior of Patients

The patient’s behavior and attitude have changed significantly during the pandemic crisis and they want risk-free experience. Shifting behaviors of patients would require the healthcare industry to effectively respond to their needs and requirements. Tech changes allow them to approach customers’ and patients’ electronics and secure their communication.

Cost Efficiency

The objective of executing changes in the health industry is to achieve cost efficiency in an organization. The automation technology allows them to be more efficient; scheduling personal changes helps them to decrease their cost.

Regulatory Transition

Hospitals have to comply with legal and regulatory requirements like the HIPAA (health insurance portability and Accountability) act; ACA, MediCaid, and Medicare. However, change in regulation in the health industry would require individuals to learn new methods of doing things.

Tech Development

Tech developments like IoT tools and equipment, telemedicine robots, online scheduling, and billing software. They would require the health industry to execute changes.

Medical Discoveries

Latest discoveries in the health care industry are pushing the boundaries to make changes; development in the autism treatment or the invention of the polio vaccine. It compels them to launch new treatments, drugs, medicine, and therapies in their institutes.

Change Management Strategies & Models in Healthcare

Some of the main strategies and models suitable for change management theory in the healthcare industry are as follows;

McKinsey 7S Model

The 7S model focuses on sever interlinked elements and factors to develop a radical approach to change management in health companies. Those elements are as follows;

  • Strategy
  • Structure
  • System
  • Shared values
  • Skills
  • Style
  • Staff

Prosci AKAR Model

The ADKAR model focuses on executing change at the individual level in health care companies to launch successful organizational changes. It comprises of following elements;

  • Awareness
  • Desire
  • Knowledge
  • Ability
  • Reinforcement

Kotter’s Change Model

The model offers a step-by-step guide to launch changes at the organizational level; they’re as follows;

  • Developing urgency
  • Making coalition
  • Communicating change plan
  • Empowering others
  • Celebrating small wins
  • Embedding change

Lewin’s Change Model

The model focuses on implementing change in three stages; they’re as follows;

  • Unfreezing current processes
  • Executing change
  • Refreezing the new changes

Benefits of CM Theory in Healthcare

Some of the main benefits and advantages of change management theory in healthcare are as follows;

  • Makes sure the execution of all the steps and guiding people with change
  • Analyzing the readiness and acceptability of employees for change
  • Efficiently and effectively treating patients and decreasing the cost
  • Making sure the adoption of new behaviors
  • Providing sufficient tools and equipment to managers to rightly execute the changes

Challenges of CM Theory in Healthcare

Some of the main challenges and disadvantages of healthcare change management are as follows;

Changing Dynamics

The healthcare industry has a dynamic nature and it is always changing and it requires continuous education and training. Implementing the latest tech changes and upgrading the skill and expertise of employees and team members; needs the full participation of team members and employees.


The health industry has complex systems and processes. The stakes are very high because they deal with the matter of life and death; that’s why they have to be highly diligent. Changes would require careful and thorough implementation.

Limited Funding

They face the challenge of limited funding; because executing new policies, processes, and technologies needs heavy investment. They have to find the right balance of implementing the changes within their budget limits.

Stakeholder Resistance

Change means that the disruption in the existing processes, and would result in the form of resistance from the employees, team members, and other stakeholders. You can’t effectively implement the changes without getting them onboard. Bringing them on board is a very difficult process.

Conclusion: Change Management Theory in Healthcare

After an in-depth study of the change management theory in healthcare; we have realized that change management is highly significant for the health industry. If you are learning about change management in the healthcare industry; then you should keep in mind the abovementioned driving forces, benefits, challenges, strategies, and models.

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