The Role of Digital Technologies in the Development of Corporate Well-Being Systems in Small and Medium-Sized Enterprises Operating in the Southern Transdanubian Region of Hungary

Abstract

The application of digital technologies within corporate frameworks is becoming increasingly indispensable in the modern business environment, serving as a competitive factor in enhancing organizational operational efficiency. Digital technologies, which permeate various aspects of organizational operations, now play a central role in the development of HR and related corporate well-being systems. This study aims to highlight the role and significance of artificial intelligence and digitalization in the evolution of corporate well-being systems integrated with HR systems, as well as in improving their effectiveness.

The exploratory, cross-sectional pilot study conducted in the Southern Transdanubian Region of Hungary examines 100 organizations classified as small and medium-sized enterprises (SMEs) based on employee headcount. Our research hypothesis posits that a strong correlation can be demonstrated between the successful implementation of digitally supported corporate well-being systems and increased operational efficiency in SMEs.

Corporate well-being systems aim to preserve employees' physical and mental health, improve their quality of life, and thereby enhance their adaptability, job satisfaction, and productivity. HR-integrated, digitally supported corporate well-being systems contribute to reduced labor costs and increased work efficiency, which manifests in higher productivity. Both artificial intelligence and modern cloud-based solutions facilitate the optimization of human resource strategies in practice and the integration of corporate processes.

The ideal relationship between digitalization and corporate well-being systems enables the automation of workflows and the reduction of workload. The continuous expansion of artificial intelligence and digitalization is expected to further strengthen this relationship. By adopting integrated and digitalized corporate well-being systems, SMEs can gain a competitive advantage through the optimal utilization of human resources, improved workforce efficiency and adaptability, and the long-term retention of valuable employees.

In Hungary, 65.5% of the working-age population is employed in the SME sector (KSH, 2023). In the Southern Transdanubian Region (comprising Baranya, Somogy, and Tolna counties), 7.69% of Hungarian SMEs operate.