2023-24 Departmental Results Report

Description

Support economic growth, prosperity and job creation in Quebec by means of clean and inclusive growth; help SMEs grow through trade and innovation; and build on competitive regional strengths.

Progress on results

This section presents details on how the department performed to achieve results and meet targets for the core responsibility to Economic Development in Quebec. Details are presented by departmental result.

In measuring progress toward fulfilling its core responsibility, CED seeks to contribute to, and influence, the three departmental results below. Achieving these results depends on a number of factors, and CED’s interventions contribute to their achievement commensurate with the organization’s budgets.The Departmental Results Framework, a requirement of the Policy on Results, is now reviewed on a 3-year basis.
 

Table 1: Targets and results for the core responsibility to Economic Development in Quebec

Table 1 provides a summary of the targets and actual results for each indicator associated with the results under the core responsibility to Economic Development in Quebec.

Departmental result 1: Quebec businesses are innovative and growing

* The data in the table corresponds to the most recent results published by Statistics Canada. The figures for previous years are those available and can be updated in current or future fiscal years.
** “Not updated” means that the data has not been updated since the last results presented in the table.

Departmental result 2: Communities are economically diversified in Quebec

* The data in the table corresponds to the most recent results published by Statistics Canada. The figures for previous years are those available and can be updated in current or future fiscal years.
** “Not updated” means that the data has not been updated since the last results presented in the table.

Departmental result 3: Businesses invest in the development and commercialization of innovative technologies in Quebec

* NA indicates that data was not available based on the desired methodology, which CED had recently reviewed in order to make improvements. This data will be available starting with the next Departmental Results Report.
** The data in the table corresponds to the most recent results published by Statistics Canada. The figures for previous years are those available and can be updated in current or future fiscal years.
*** “Not updated” means that the data has not been updated since the last results presented in the table.

More detailed results and performance information relating to CED’s Program Inventory can be found on GC InfoBase.

Details on results

The following section describes the results for the 2023-24 core responsibility to Economic Development in Quebec, compared with the expected results set out in CED’s 2023-24 Departmental Plan.

Departmental result 1: Quebec businesses are innovative and growing

• Through the Regional Economic Growth through Innovation (REGI) program and related temporary initiatives, CED contributed to the growth and innovative capacity of Quebec businesses by helping them become more productive and competitive and reach new markets. In concrete terms, this translates into $289.1M in funding for 623 projects carried out by SMEs or non-profit organizations (NPO) that support SMEs.
  • CED continued to fund the green transition of SMEs and regional economies, with a particular focus on strategic investments in clean technologies, organizations that incorporate eco-responsible practices into their operations, and regional ecosystems that support SMEs taking action. Through the REGI and its associated temporary initiatives, CED provided $121.4M in funding for 227 projects that support the environmental transition.
  • The Jobs and Growth Fund (JGF) provided funding for 85 projects, for a total of $52.4M granted under the REGI program to improve business competitiveness, create jobs and help SMEs transition to a green and inclusive economy.
  • Quebec’s business incubators and accelerators are drivers of innovation and regional economic development, which is why CED supported 22 projects, for a total investment of almost $8.6M, to help them reach their full potential.
• CED worked hard to promote Quebec’s capabilities among prime contractors with a view to increasing the opportunities generated by the Industrial and Technological Benefits (ITR) Policy in Quebec. At defence and security industry events held in Canada and abroad, CED coordinated networking meetings attended by SMEs and prime contractors in order to maximize the economic benefits in Quebec. For example, at CANSEC, Canada’s largest defence trade show, CED organized a networking evening attended by over 200 people.

Departmental result 2: Communities are economically diversified in Quebec

• Through the Quebec Economic Development Program (QEDP) and associated temporary initiatives, CED supported 479 projects, for a total of $183.8M in funding, to help communities pursue promising economic development and diversification opportunities going forward.
  • In 2023-24, through the Canada Community Revitalization Fund (CCRF), CED provided a total of $45.7M in funding for 196 projects from communities all across Quebec involving the construction or upgrading of community facilities, to help these communities rebound from the effects of the COVID-19 pandemic.
  • CED continued to support the tourism sector, notably through the Tourism Relief Fund (TRF) ($12M for 77 projects); the Major Festivals and Events Support Initiative (MFESI) ($35M for 8 projects); and the new Tourism Growth Program (TGP) launched in 2024.
  • CED also provided $13.4M under the initiative for the development of regional economic infrastructure in Quebec (IDI) for six tourism infrastructure projects that contribute to the economic vitality and attractiveness of Quebec communities, and one project under the transportation stream.
  • Through the Hurricane Fiona Recovery Fund (HFRF), designed to help SMEs and communities in eastern Quebec get back on their feet, and to support their economic recovery efforts, CED provided approximately $5.6M in funding for 23 projects over the course of the past fiscal year.
  • CED maintained its commitment to foster the environmental transition of Quebec businesses, specifically by helping them fund their green transition and acquire the necessary expertise to make it happen. Through the QEDP stream, CED supported 16 projects that contribute to sustainable development, for a total investment of $16M.
  • By providing financial assistance under the Jobs and Growth Fund (JGF), CED was able to help bolster the competitiveness of businesses and organizations, create jobs, and support businesses in their transition to a green and inclusive economy. A total of $8.8M in funding was awarded for 5 projects under the QEDP stream.
  • Under the Lac-Mégantic Economic Recovery Initiative (LMERI), CED provided $3.6M in funding for 8 projects that supported the economic and commercial recovery of the town of Lac-Mégantic following the railway accident on July 6, 2013. In total, CED awarded $35.4M in funding under this initiative, which ended on March 31, 2024, for 44 projects targeting the economic recovery of the town of Lac-Mégantic.
  • CED pursued the following initiatives aimed at promoting an inclusive economy in all regions of Quebec:
    • Economic Development Initiative – Official Languages (EDI-OL): $1.4M for 9 NPO projects
    • Black Entrepreneurship Program (BEP) – National Ecosystem Fund: $7.3M for 10 projects
    • TRF – Indigenous communities: $3.2M in 11 Indigenous projects
  • Strategic Partnerships Initiative – Energy Transition for Indigenous Businesses: 18 projects administered jointly with Indigenous Services Canada for a total of $3M.
• The annual investment of $33.4M through the Community Futures Program (CFP) allowed the Community Futures Development Corporations (CFDCs) and Business Development Centres (BDCs) to support local projects and pursue their mission of supporting the economic development of rural regions.
• CED pursued the implementation of the Inuit Nunangat Policy, in place since April 2022, to ensure that the Agency’s interventions are based on an understanding of the specific needs and circumstances of the Inuit, and that this understanding is reflected in its services, programs and initiatives. CED has been building on the long-standing relationship developed over the years between the CED business office responsible for Nunavik and various partners. CED representatives also held meetings in Kuujjuaq with the main economic development actors to learn more about how the Agency can further support economic development in Nunavik.

Departmental result 3: Businesses invest in the development and commercialization of innovative technologies in Quebec

• In 2023-24, CED provided $11.3M in funding for 90 projects targeting the commercialization of innovative products and services, specifically to help businesses improve their capacity to identify market opportunities, access potential clients, manage business relationships, penetrate national and international markets, integrate global value chains, and access public markets and Industrial and Technological Benefits (ITB).
• CED also provided $52M for 117 different projects by 100 NPOs that assist businesses with their business projects, involving technology development, adoption, adaptation and commercialization, from a growth perspective.
• By providing $59.6M in funding for 26 projects through the Aerospace Regional Recovery Initiative (ARRI), CED has helped SMEs in the Quebec aerospace industry emerge from the pandemic by building their competitiveness on the world stage and making their operations more environmentally friendly, notably through the adoption of environmentally sustainable practices.
• As part of the National Quantum Strategy (NQS), CED provided $6.2M in funding for a dozen or so projects under the regional quantum innovation (RQI) initiative, a component of the Commercialization stream of the NQS, to help Quebec businesses expand and to commercialize quantum technologies through the main regional hubs of quantum expertise.
• Through the research component of the Infrastructure Development Initiative, CED provided a total of $8.7M in funding for 3 projects.
• As of October 1, 2023, Quebec’s small businesses and aspiring entrepreneurs have had access to CED’s one-stop Business Information Services, where they can obtain guidance, assistance and referrals to appropriate resources—including CED’s programs—to support their development projects, in co-operation with ecosystem players. After a smooth transition, having been previously provided by two different organizations, this service is now provided directly by CED and boasts high quality standards (96% satisfaction rate). Since the introduction of the service, there have been over 3,000 interventions with entrepreneurs who have been able to easily access information on various programs and resources, as well as strategic business and market information to support their growth.

CED also continued to track its $3B investment portfolio by continuing to engage with entrepreneurs regarding projects approved in previous years, i.e., ensuring their completion and managing the collection of repayable contributions.

Key risks

Risk 1: Information Technology (IT) security

Cybercriminals are using increasingly sophisticated means to infiltrate technological infrastructure and gain access to sensitive information. Government organizations, in particular, are prime targets.

With a view to mitigating these risks, CED pursued active cybersecurity measures. The organization also implemented a cybersecurity awareness and training strategy to equip and prepare staff to adopt the right reflexes when dealing with situations involving cybersecurity issues.

Risk 2: Workforce health, wellness and management

Over the past few years, staff have had to deal with various factors that affect workload and the ways things are done at the Agency. The substantial number of recovery initiatives in place since 2021‑22 has put pressure on CED staff, a situation that has been exacerbated by labour shortages in several job categories within the organization. At the same time, the transition to a hybrid work model required adaptation on the part of both labour and management. This context of profound change in recent years prompted the organization to identify a risk relating to workforce health and wellness.

In response to these issues, and in keeping with its commitment to foster a diverse, inclusive, barrier‑free and accessible workplace, CED has taken steps to address workload challenges and promote employee wellness. To maximize opportunities for employees to participate in the advancement of CED’s mission, and to foster dialogue, CED created an internal discussion forum where all staff get together on a regular basis, and implemented an EDI strategy and committee to ensure the application of the guidelines associated with the Call to Action on Anti-Racism, Equity, and Inclusion in the Federal Public Service. Champions have also been appointed to promote wellness and mental health, and values and ethics, within the organization. CED shared its commitment to values and ethics, in line with the Clerk of the Privy Council’s priorities, by informing and educating staff about this issue. Finally, CED has developed a new integrated human resources plan for the next three years, and has adopted recruitment best practices to address labour shortages, in order to pursue its ongoing efforts to attract and retain a skilled and diverse workforce.

Risk 3: Program delivery

The economic slowdown is likely to negatively impact Quebec businesses, notably because of a decline in orders and the reorganization of supply chains. Labour shortages and high inflation are putting further pressure on business’s resources. This situation fuels the risk that businesses, now more indebted, will cancel or delay their investment projects required for the modernization of their operations. There is also a risk that CED’s programs will not be sufficiently tailored to the changing needs of SMEs, and this could have negative repercussions on CED’s capacity to provide strategic and ongoing support for SMEs’ business projects.

To help Quebec businesses deal with the upheaval of this new economic context, CED tailored the implementation of its regular programs to meet emerging needs based on regional realities, and in so doing has contributed to the vitality of Quebec communities. Through its 12 regional business offices and its integrated approach to information, assistance and investment monitoring, CED supports businesses (including NPOs Indigenous organizations and social economy enterprises) in the development and diversification of the economies of Quebec’s regions.

Resources required to achieve results

Table 2: Snapshot of resources required for the core responsibility to Economic Development in Quebec

Table 2 provides a summary of the planned and actual spending and full-time equivalents (FTEs) required to achieve results.

Complete financial and human resources information pertaining to CED’s Program Inventory can be found on GC InfoBase.

Related government-wide priorities

Gender-based analysis plus (GBA+)

CED pursued the implementation of its gender-based analysis plus (GBA+) policy and organizational governance framework to increase the consideration of gender and diversity in policy development, program design, internal practices and client services. To this end, in 2023-24, CED continued to incorporate GBA+ into the design and implementation of two new initiatives. As concerns the first of these, namely the Initiative to Support Economic Development in Montréal’s East End (ISEDMEE), GBA+ allowed for the development of delivery parameters that help increase the inclusion and participation of various under-represented groups in the economy of Montréal’s East End. In the case of the second initiative, the Tourism Growth Program (TGP), launched in February 2024, new GBA+ performance measurement indicators were developed for results tracking and reporting on support for Indigenous communities/recipients, and rural or remote regions.

Furthermore, with a view to improving its ability to report on the impact of its programs and initiatives on under-represented groups, in line with GBA+, CED worked with the intermediary groups it supports to improve the reliability of the data they collect on their clients. CED reviewed its annual data collection tools used by the intermediary groups it supports to ensure that these tools adequately capture its interventions targeting the new categories of under-represented groups introduced in 2021.

CED also pursued the implementation of its equity, diversity and inclusion (EDI) approach, which applies to all its clients and programs and stems from the findings of CED’s GBA+ analyses:

• EDI appendix to the funding application, to educate CED clients about the importance of EDI and to provide an estimate of its integration: Of the 468 SME and NPO project proponents that completed the form, 331 (71%) indicated that their organizational practices would include an EDI component, or that they planned to start taking steps in this regard.
• Client resources: Pages on the CED website that promote EDI as a lever for growth, as well as awareness tools about the benefits of an EDI approach, are among the most visited pages on the CED website.

United Nations’ 2030 Agenda for Sustainable Development and the Sustainable Development Goals

More information on CED’s contributions to Canada’s Federal Implementation Plan on the 2030 Agenda and the Federal Sustainable Development Strategy can be found in our Departmental Sustainable Development Strategy.

Program Inventory

The core responsibility to Economic Development in Quebec is supported by the following programs:

• Regional Innovation
• Community Vitality
• Targeted or Temporary Support

Additional information pertaining to CED’s Program Inventory, as concerns the core responsibility to Economic Development in Quebec, can be found on the Results page of GC InfoBase.

Description

Internal services are the services that are provided within a department so that it can meet its corporate obligations and deliver its programs. There are 10 categories of internal services:

• management and oversight services
• communications services
• legal services
• human resource management services
• fiscal management services
• information management services
• information technology services
• real property management services
• materiel management services
• acquisition management services

Progress on results

This section presents details on how the department performed to achieve results and meet targets for internal services.

The 2023-24 fiscal year marked the third and final year of the Imagining 2024 initiative, an internal management framework aimed at achieving concrete organizational results based on three pillars: an engaged team in a healthy and modern environment; a recognized contribution; and responsive services. To fulfill its mission more effectively, CED focused on modernizing its processes and tools, being innovative and continuously improving the way it operates.

Over the past year, progress has been made in a number of areas in line with Imagining 2024. Achievements include:

The successful shift to the hybrid work model

 CED implemented various activities to foster staff buy-in for the hybrid work model and to optimize its benefits. Specifically, the Agency initiated an organizational dialogue on improving professional practices and the work environment. Drawing on the lessons learned from its Future of Work pilot project, CED created safe, modern on-site spaces, as well as collaborative areas adapted to internal needs. The success of the shift to the hybrid work model bears witness to CED’s ongoing commitment to adjust to changing realities and meet its strategic imperatives.

A vision and a plan for the new digital era

 The digital shift is fundamentally transforming the way we work and interact. The launch of the 2024-27 Digital Strategy has allowed the Agency to achieve its vision by strengthening its agility, transparency and innovative capacity with a view to shaping a modern workplace that lives up to its aspirations. Following a targeted call for proposals, CED implemented a portal for external clients that modernizes the client experience for this type of project submission process. The portal will be continuously upgraded with a view to maintaining easy, secure client access and optimizing the Agency’s management practices.

Sustained support for learning

 Strengthening digital skills is a key initiative for CED. Drawing on up-to-date learning roadmaps, managers and employees were able to take advantage of targeted learning opportunities, including training specifically designed to equip them with the digital skills needed to meet the challenges of societal transformation, including the challenges associated with the emergence of telework and new technologies. The various digital dexterity tools available on the intranet meet a number of current and future staff training needs.

Resources required to achieve results

Table 3: Resources required to achieve results for internal services this year

Table 3 provides a summary of the planned and actual spending and full-time equivalents (FTEs) required to achieve results.

Complete financial and human resources information pertaining to CED’s Program Inventory can be found on GC InfoBase.

Contracts awarded to Indigenous businesses

Government of Canada departments must meet a target of awarding at least 5% of the total value of contracts to Indigenous businesses each year. This commitment must be fully implemented by the end of 2024–25.

Canada Economic Development for Quebec Regions’ result for 2023-24

Table 4: Total value of contracts awarded to Indigenous businesses*

As shown in Table 4, CED awarded 9.45% of the total value of all contracts to Indigenous businesses for the fiscal year.

^* For the purposes of measuring performance against the minimum 5% target for FY 2023-24, the data in this table is based on how Indigenous Services Canada (ISC) defines “Indigenous business”, which is one that is owned and operated by Elders, band or tribal councils; registered in the Indigenous Business Directory; or registered on a modern treaty beneficiary business list.
^** Includes contract amendments to contracts with Indigenous businesses and contracts that were entered into with Indigenous businesses by means of acquisition cards above $10,000 ($10K), and may include sub-contracts with Indigenous businesses.
^*** Includes contract amendments and contracts that were entered into by means of acquisition cards above $10K.

In its 2023-24 Departmental Plan, CED projected that, by the end of the 2023-24 fiscal year, 5% of the total value of its contracts will have been awarded to Indigenous businesses.

This result exceeds the 5% target for 2023-24, owing to the collaboration of the various directorates and the strategies implemented by the Department, including:

• Organizing in-house awareness sessions on the obligation to use Indigenous businesses whenever possible to meet our needs in terms of goods and services, and the importance of doing so.
• Adding a section related to the Procurement Strategy for Indigenous Businesses (PSIB) to our strategic procurement plan, including the following measures to ensure the objective is achieved:
  • Systematically identifying, early in the process, the capacity of the Indigenous market to meet the need
  • Consulting the Indigenous Business Directory to identify qualified suppliers in various industries
  • Using mandatory standing offers / supply arrangements (SO/SA) for the acquisition of goods
  • Using set-aside methods (mandatory, voluntary and conditional set-asides)
  • Targeting and inviting Indigenous businesses to take part in open solicitations or invitations to tender
• Developing a training curriculum specifically designed for business owners that includes the Canada School of Public Service course “Indigenous Considerations in Procurement (COR409)” for a better understanding of the strategy.