Hydrexcel is Building Partnerships Using AI Technology

We’re excited to share that our customer, Hydrexcel, was recently featured in the Journal de Montréal for being a leader in the use of artificial intelligence (AI) in Quebec.

Based in Bécancour, in central Quebec, Hydrexcel uses AI to improve how it works and partners with other manufacturing companies. Under the leadership of Managing Director Joaquim Blanchette, Hydrexcel demonstrates how a fresh approach to AI not only boosts efficiency but also helps companies form valuable partnerships in today’s increasingly complex economic landscape. We’re proud of Hydrexcel’s success and how they are driving innovation in Quebec’s manufacturing sector.

A Unique Strategy for Resource Sharing

At the heart of their unique approach to AI is the sharing of resources. Using detailed questionnaires filled out by local businesses and data analysis conducted by economics professor Frédéric Laurin from the University of Quebec at Trois-Rivières (UQTR) and Créneau Machines, Hydrexcel was able to identify underused equipment in neighboring companies. These insights allowed businesses to lend machine time to each other, optimizing production capacity and creating new opportunities.

Joaquim explains: “For instance, my specialty is making machines, but when it comes to pipes, I know I’m a little less competitive. My neighbor, however, excels at it. So, we focus on each company’s strengths instead of trying to be good at everything.” This approach not only builds on each local business’s key areas of expertise, but it also opens up market opportunities that were previously out of reach.

A New Response to Global Competition

Hydrexcel’s initiative is part of a broader trend identified by Benoit Cormier, president of the Centre de Valorisation des Données Manufacturières du Québec (CVDM). According to Benoit, the future of small and medium-sized businesses lies in networking and increased specialization.

“The mistake companies make is trying to do everything. SMEs need to connect, specialize, and help each other,” Benoit says. By modernizing their shops—and collaborating—local businesses can avoid becoming targets for foreign buyers, as has happened to other companies that failed to evolve.

Since implementing this new collaborative strategy, Hydrexcel, which specializes in custom industrial equipment like conveyors and lifting systems, has seen significant growth in sales. “Twenty years ago, we would have said, ‘We’re competitors; we don’t talk to each other.’ But that’s not true anymore. Competition now comes from elsewhere,” says Joaquim.

Conclusion

AI is changing the business landscape and pushing small businesses to rethink ideas around competition and collaboration. By adopting resource-sharing models and using data smartly, companies like Hydrexcel show that innovation can come from cooperation rather than competition. As we continue to move forward in this new age of artificial intelligence, businesses that can adapt and work together will be more likely to succeed and last long-term.