NOVIPRO Group and Léger publish IT Trends Report showing cybersecurity fears

MONTREAL — On Apr. 24, NOVIPRO Group and Léger have unveiled the 8th edition of their annual IT Trends Report. Each year, NOVIPRO Group and Léger survey decision-makers across Canada to identify the challenges and trends that are shaping IT investments for small, medium, and large companies across sectors.

Key takeaways from this year’s data include:

• Threats loom large: Companies are more aware of cyber threats than ever, with 61% prompted to review their data security practices by news reports about data breaches. Security was also identified in the top three challenges facing businesses this year, and was a top priority for companies when assessing applications for modernization.
• Cybersecurity action lags behind concern: Despite these fears, investments in the training, resources, and insurance necessary to protect against cyber threats are lacking. 28% of companies had not offered training in the last year, 13% have not implemented any measures to protect against data breaches, and 71% do not have cyber insurance. Fortunately, companies are planning future investments; 29% of respondents are planning to invest in security solutions in the next two years, an increase of 15% since last year.
• Investment growth returns: 80% of Canadian businesses intend to make significant technology investments in the next two years, an increase of 4% since last year. This is the first year that this number has increased since the pandemic in 2020.
• Companies invest in IT training: The #1 human resources concern for IT departments this year was lack of training and skills development. Fortunately, over two thirds of respondents are planning to invest in this area.
• AI on the rise: Most respondents recognize that AI will or has already impacted their business, and 40% plan to invest in AI and/or Advanced Data Analytics in the coming year. However, a surprising 20% of respondents either do not believe that, or do not know if, AI will transform their business.
• Feeling the pinch: This year, we continue to see the impacts of the pandemic and inflationary pressures on IT investments. Budget emerged as the most common challenge facing businesses in the year ahead, closely followed by security. Budgetary pressures are resulting in under-investment in both critical and innovative tech that could bring sorely-needed efficiencies, cybersecurity protection, and competitive advantages.
• “Functional,” not forward-thinking: 67% of respondents described their IT infrastructure as “functional.” Most Canadian companies are not making the investments necessary to bring their technological solutions to the next level and leverage IT strategically.
• Low confidence in IT teams: Strategic IT decisions are likely being held back by both budget and negative perceptions; 31% of respondents view their IT department in a negative light. Of this 31%, 16% view IT as a “necessary evil.” Additionally, the percentage of companies that view their IT teams as an investment has been in decline since 2020.