Hodgson, who will celebrate his first anniversary with the club this weekend, was relieved of his duties at Anfield in January last year and was appointed head coach at the Hawthorns just 37 days later.
He steered the Baggies out of the bottom three into 11th spot and this season Albion have stayed out of the relegation zone, despite a poor run of home form, in their bid to become a Premier League force.
Hodgson said: "After leaving Liverpool, I suppose it was a bit of a bold decision to go straight back into football - especially at a club that was in danger of relegation.
"I was very happy last season with the way things went and, this season, I have had happy moments and unhappy moments.
"But I am still very satisfied with the way we're working, with the way the players are working and trying to do their best for the club.
"I'm very happy with the staff and the way they're working although happiness, like all football coaches, depends upon what happens on a Saturday afternoon and, at the end of 90 minutes, what the score is.
"But there is a major difference between results and work and it's not as simple as saying: 'If you work well you get results'.
"Sometimes you can work well without results and sometimes you can get results without doing much for it. That's a fact of life.
"What you have to believe, if you've been in it for a long time, is that if you do work properly you'll have more success than if you don't.
"Whether it will be enough success is another question because that will depend on whether people make bad mistakes at either end of the pitch."
Meanwhile, West Brom shareholders have hit out at the club for holding their annual general meeting in London early on Thursday morning, and have called for it to be held at the Hawthorns in future.
Any shareholders wanting to attend will have to arrive in the capital for a 9am start.
Shareholders 4 Albion (S4A), which represents small shareholders, has submitted a motion requiring future meetings to be staged at the club's home stadium.
SAA secretary David Watkin, in a letter to Albion chairman Jeremy Peace, said: "The cost involved for the majority of shareholders to attend a meeting in London is prohibitive.
"The practicality of arriving in time for such an early start is difficult to say the least.
"The facilities at the ground are excellent so we are unable to see the benefits of this arrangement. We hope that you will reconsider for all future general meetings."
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