McIlroy broke up with the Danish tennis star in May, with the pair having been due to marry later this year.
The 25-year-old has since won the BMW Championship, as well as clinching his third and fourth major titles with the Open and PGA Championships.
Woosnam, who won the one major McIlroy is yet to collect - the US Open - in 1991, believes the world number one is reaping the benefits of a settled life off the course.
"I don't really get involved in that, that's what he wants to do," he said.
"It's nice to see that he's got stuck into the game of golf. You'd have to say it looks like it's been affecting his golf a little bit because he wasn't playing that well and all of a sudden they split up and now he's playing well, concentrating.
"He's dedicated himself to the game a bit more. It's finding that happy balance between the two.
"I wish him well and hope he finds someone nice and sweet for him where he can enjoy his life on and off the golf course."
McIlroy will be a part of the European team for the Ryder Cup at Gleneagles later this month and Woosnam sees the event as a chance for McIlroy to complete a memorable year in style.
"The only thing for him to look forward to now is winning the Ryder Cup as a successful part of the team. That will cap his year off," he added.
"I won one major in 1991 and we had the Ryder Cup that year at Kiawah Island and it was great to be number one in the world at that time and it's nice to on that team as number one in the world as well. I'm sure that'll make our team stronger as well."