Employee Motivation and Engagement in Hungarian Metalworking SMEs: A Mixed Methods Empirical Study
Abstract
This study provides an in-depth examination of the specific characteristics of human resource management in Hungarian small and medium-sized enterprises in the metalworking industry, with particular attention to employee motivation, loyalty, managerial practices, and the role of knowledge management. The central problem addressed is that metalworking SMEs face challenges related to labour shortages, generational change, and maintaining competitiveness, which makes employee engagement and retention a key area of corporate strategy.
The aim of the research is to explore which motivational tools Hungarian metalworking SMEs apply, to what extent loyalty can be observed among employees, which managerial practices contribute to strengthening engagement, and what role knowledge management plays in employee retention.
The study is built on two methodological pillars: 8 semi-structured in-depth interviews, which reveal organizational practices and dilemmas from a managerial perspective, and a questionnaire survey summarizing the views of 102 employees based on quantitative data. The mixed-methods approach enables the comparison of managerial and employee perspectives, as well as the comparison and synthesis of findings.
The study begins by presenting the topical relevance of the subject and the research objectives, then – within a condensed theoretical framework – reviews theoretical approaches to motivation and loyalty, relevant leadership concepts, and the role of knowledge management. It subsequently outlines the research methodology and presents the empirical results, supported by tables and figures. The concluding section summarizes the main findings.
The results indicate that the strengths of metalworking SMEs lie in personal relationships, stability, and loyalty; however, to ensure sustainable competitiveness, it is advisable to expand the set of motivational tools, institutionalize knowledge management, and purposefully develop managerial practice.
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