Every year, Québec companies spend significant amounts on technology… and often end up with results that fall short of expectations. Why? Because we still see technology as a bill to pay, not as a real lever to grow and increase revenue.
The Numbers That Hurt
I looked at recent benchmarks (Gartner, Deloitte, Canadian studies), and it’s clear:
- In transportation and services, top performers invest around 3–5% of their operating costs (or revenue). Here in Québec, many companies are stuck at 1–2% at best.
- In manufacturing, the North American average sits around 2–4% of revenue. Here, many businesses stagnate at 0.8–1.5%.
The consequence? A massive technology gap that shows up everywhere: suboptimal productivity, shrinking margins, and competitors moving faster and pulling ahead.
What an IT Budget Should Actually Look Like
High-performing companies divide their tech budget into three major blocks (the well-known Run / Grow / Transform model):
1. Run – Keep the Lights On
Servers, SaaS licenses, cybersecurity, support for existing systems… the basics.
This should account for 60–75% of the total budget (often closer to 70–75% in traditional businesses).
The problem? In Québec, many companies stop there. The entire budget goes into “Run,” and nothing moves forward.
2. Grow / Optimization – Do Better With What You Already Have
Automate low-value tasks still done manually, reduce dependency on key individuals (knowledge management, cognitive tasks, RPA, process optimization).
Ideally, this represents 15–25–30% of the budget.
This is where ROI takes off. With the right automation investments, you can easily double or even triple efficiency — and free up real cash flow.
3. Transform / Innovation – Think Bigger
Test new business models, dive into generative AI, launch digital products, disrupt your own market.
This should represent 5–15% (leaders aim for 10–20% or more).
This is the “extra push” that can turn an SMB into a market leader.
The Good News for Québec Businesses
Automation (RPA, low-code/no-code platforms, AI applied to business processes) has become extremely accessible in 2025–2026 — even for small and mid-sized companies.
By reallocating just a small portion of your “Run” budget toward optimization, you can double productivity gains… and then, without increasing your overall budget, start investing seriously in innovation.
Stop seeing technology as a cost to minimize.
Start seeing it as your best investment to grow, protect your margins, and leave your competitors in the rearview mirror.
