Mercedes will need to "extract every bit of potential" from the car and the drivers to win in Montreal, according to Toto Wolff.
Although Mercedes have yet to be beaten this season, the Austrian has once again insisted that Lewis Hamilton and Nico Rosberg cannot take anything for granted.
The duo have dominated this season, taking six pole positions and six wins, handing them a massive advantage in the Championships.
However, Wolff reckons their advantage out on track is diminishing and, as a result, they need to pull out all the stops next weekend in Canada.
"We are pleased to head to Canada on the back of another strong weekend in Monaco," Wolff stated.
"We went into that race convinced that our rivals could outperform us and that's how we worked to prepare for the weekend: like we were the underdogs.
"So we were pleased to see that we still had a good advantage at the front of the field.
"The team is operating at a very high level right now but we need to keep the ball flat, stay humble and keep pushing.
"On paper, you might say that Canada is the kind of circuit that should suit our package. But we don't have a crystal ball and we have been bitten by that way of thinking in the past.
"We know that our rivals are getting closer and that we will need to extract every bit of potential to deliver a strong performance in Montreal.
"Lewis has a fantastic track record in Canada, Nico has the momentum from his win in Monaco. We are all looking forward to the next chapter in the story of this season."
The team will head to the Circuit Gilles Villeneuve with updates for their W05 while technical director Paddy Lowe is keen to see how Mercedes' new V6 engine performs on the high-speed track.
"It's very much a power circuit and we're looking forward to seeing how the Mercedes-Benz Hybrid package performs around this type of track layout. Endurance will also be an important factor given the high demands placed on the components, so this weekend will provide a comprehensive test of the Power Unit.
"There were some concerns after Monaco following a retirement for Valtteri Bottas but the team at Brixworth have been working extremely hard to understand that problem and ensure that it is contained across every engine. We are confident that this will be the case.
"As always this will of course depend on the team providing a good package and equally strong reliability. We will be bringing a number of updates to the car, both on the power unit and aerodynamic side, so it should be an interesting weekend."