Factors affecting the health industry



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External factors

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The health industry has a very dynamic environment that is affected by numerous factors, both internal and external ones. The services provided by healthcare organizations are related to patient satisfaction, loyalty, productivity, and profitability. Therefore it is vital to define, measure, and enhance the quality of healthcare services. Effective leadership integrated with teamwork in any organization makes a difference when meeting such factors to mitigate challenges. A consistent evaluation process is necessary for identifying all factors affecting the working success of an organization. Different influences may impact the success of a company. These fall into two categories; external and internal factors.

External factors are the surrounding environment of healthcare organization that impacts their performance and quality services. Patient socio-demographic factor influences the interaction among a provider and the patient as well as the quality of the medical service. This factor can hinder the successful operation of these services if there is no clear understanding between the patient and the physician. A physician needs to identify with the patient’s socio-demographic variables to help in communicating better with them and win their trust (Bielecki & Nieszporska, 2019). This can affect the organization as it contributes to medical errors or wrong administration of medications if the patient doesn’t provide eight information to the physician due to misunderstanding.

The attitudes and behavior of the patients affect the attitude of the caregiver because if they behave themselves, quality care is offered unintentionally by the providers. The slow diffusion of medical knowledge is an external factor affecting healthcare organizations. The acceptance of new discoveries into clinical practice can take more period than required. Even if it is a way of ensuring that patients receive drugs, procedures, and interventions that are effective, it hinders the progress of important interventions as they cannot be practiced till proven. Unfortunately, there is no simple solution to this factor.

The severity of illnesses is another external factor. The kind of illness handled in health organizations increases stress among physicians, thus affect the entire quality of medical services. For instance, when the mortality rate keeps increasing, it creates anxiety and stress among staff, which in turn affects the quality of medical services. Continuous training and educational advancements are opportunities that affect healthcare organizations Willis et al., 2018). This contributes to professional who is key in providing medical services. They provide measures for assessment, developing, and fine-tune key individual and professional skills to remain expert. Therefore, the healthcare organization can handle any complex situations in the changing environment to provide quality services.

The practice of medicine and technology have produced opportunities through how health workers practice medicine now and in the future. Technology has made massive impact in healthcare, such as enhancing access to medical data and files. It permits information to be retrieved from anywhere hence, permits providers to share medical data rapidly with one another leading to more effective patient care (Cantor & Poh, 2018). EHR has made medical billing easier, faster, and smoother. Patient medical records are secured and stored in an organized manner and centralized storage of patient’s data. This makes the work of health providers easier as they have quick access to data for improved care and better results.

The Healthcare organization is very complex due to the changes needs of patients and modern advancements. To properly deal with threats and opportunities, healthcare managers should show direction and guidance to the roles, responsibilities, and function. They have to find ways that the external factors, especially the opportunities, can be constructed to be beneficial to the organization to enhance the quality of services provided. They should devise and revise strategies that every provider can adhere to and comprehend. The choices made by healthcare directors should focus on providing quality care but also address the needs of health providers and ways to increase their proficiency.


Bielecki, A., & Nieszporska, S. (2019). Analysis of healthcare systems by using systemic approach. Complexity2019. Retrieved from


Cantor, V. J. M., & Poh, K. L. (2018). Integrated analysis of healthcare efficiency: a systematic review. Journal of medical systems42(1), 1-23. Retrieved from


Willis, G., Cave, S., & Kunc, M. (2018). Strategic workforce planning in healthcare: A multi-methodology approachEuropean Journal of Operational Research267(1), 250-263. Retrieved from https://www.sciencedirect.com/science/article/pii/S0377221717310196

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