$80 million Funding for Adoption of Digital Technologies

Digital Technology Adoption Pilot Program Administered by National Research Council – Industrial Research Assistance Program (NRC-IRAP)

As part of the Government of Canada’s Digital Economy Strategy, a significant investment of $80 million dollars between now and March 2014 will be available to NRC-IRAP. This funding program, called the Digital Technology Adoption Pilot Program or DTAPP, aims to increase the productivity of small and medium enterprises through increasing the adoption of digital technologies. Support for the adoption of digital technologies will be provided through the delivery of consulting services and/or non-repayable contributions. Hardware and software costs are not eligible under the program. In order to secure funding, program participants must agree to participate in ongoing assessments of the operational and strategic results and outcomes of their DTAPP opportunity.

Eligible Projects

At this time, the Government of Canada has provided very limited information about this new program. No preferred project specifications or examples are provided by NRC-IRAP, however the pilot program is available to all sectors and it appears priority may be given to those firms that are “DTAPP-Ready”, meaning the infrastructure to support new Digital Technologies is already in place for the purposes of improving productivity. Some examples of adoption assistance programs that could be available might include company diagnostics and benchmarking, workflow redesign, simulation studies, and the hiring of new staff, including recent college graduates. Non-eligible costs include the purchase of computer hardware and/or off the shelf software. Projects which would reduce the number of employees at a firm as a result of automation would likely not be considered at all by NRC-IRAP.

Eligible Parties

The DTAPP program is open to various private companies/firms, colleges and not-for-profit organizations. To be eligible for DTAPP services or funding, small- and medium-sized enterprises (SMEs) must:

have 500 employees or less;
be incorporated, for-profit and operate in Canada;
be growth oriented;
demonstrate plans to carry out a project designed to adopt digital technologies; and
be willing to change its current operations, to maximize the benefit of adopting digital technologies on its productivity.

Eligible Finances

Total funding amounts will be determined on an individual basis and may include labour, contractors, travel, feasibility and other studies, and training. Non-eligible costs include the purchase of computer hardware and/or off the shelf software. Contributions to organizations (NPO or College) that provide services to individuals or groups are limited to $1 million.

We can help
Your KPMG Enterprise adviser can help you assess whether your new digital investments meet the requirements of the DTAPP program. Further details on the program can also be obtained by contacting your local IRAP representative or calling IRAP directly at 1-855-453-3940.

KPMG Enterprise maintains a listing of government programs that provide support to private company business owners. If you are considering new investments for your business, consider asking a KPMG Enterprise adviser about support programs which may be applicable to your situation.