Executive Summary
The year 2021 consolidated the operational transformations initiated during the pandemic and added new layers of complexity: managing the first European recovery plan funds, adapting to the new hybrid working framework and anticipating the demands of the labour reform approved in December. At BMC, the Operations department continued as clients' trusted partner in managing accounting, payroll and administrative processes, with a growing focus on automation and data analytics.
The digitalisation index for clients’ accounting processes reached a new high: 67% were operating with fully cloud-based accounting systems, compared to 48% the previous year. This trend, accelerated by the pandemic, is consolidating as an irreversible standard.
Key Highlights
NextGenerationEU grant management was one of the major operational focuses of the year. European funds arrived through multiple channels — CDTI, IDAE, ICEX and regional authority programmes — with complex documentary justification requirements. BMC managed more than 85 grant application and justification files for clients in the areas of digitalisation, renewable energy and production process efficiency.
The labour reform approved on 30 December generated an immediate work agenda. Although technically the adaptation period extended to March 2022, the most proactive companies began inventorying their temporary contracts and reviewing their hiring policies in the final weeks of December. BMC adapted more than 320 employment contracts during the transitional period.
Hybrid working consolidated as the predominant model among professional services clients. The operational implications were diverse: adapting time-tracking systems for remote workers, managing remote working expenses and their tax deductibility, and updating liability insurance to cover new working environments.
Operational Process Analysis
Accounting and reporting: The proliferation of extraordinary financing sources — grants, ICO loans, public guarantees — complicated the financial statements of mid-sized companies. Producing more detailed management reports with disaggregation of extraordinary items became standard practice. Auditors intensified their analysis of these items, requiring additional supporting documentation.
Payroll management: Normalising payroll after the ERTE period was a delicate technical exercise. Correctly allocating Social Security contributions, adjusting contingency rates and reconciling settlements from previous years required meticulous attention. Preparing for the new contract types that the labour reform would introduce demanded updates to management systems.
Treasury planning: With the economic recovery, working capital financing needs normalised, but uncertainty over emerging inflation and public sector payment timescales maintained treasury as an active management area.
Changes in Accounting Standards
The ICAC published updated doctrine on the accounting treatment of subsidised financial instruments and on the presentation of lease transactions under the new IFRS 16 framework for companies required to apply international standards. Correct interpretation of these guidelines was decisive for the true and fair view of financial statements.
The Crea y Crece Act — in parliamentary process during the year — anticipated the future mandatory electronic invoicing between companies, a change requiring advance technological preparation in invoicing and accounting systems.
Outlook
The start of 2022 brought operational priorities around labour reform adaptation, management of the first wave of ICO loan maturities and monitoring of emerging inflation, which was beginning to impact company operating costs. Active working capital management and internal process optimisation emerged as the highest value-added areas for the operations department.
Our accounting and outsourced CFO services team continued accompanying clients with solutions adapted to the new operational complexity of the environment.
