Hiring an AI engineer vs outsourcing: what small businesses should know
More and more small and mid-sized businesses are advertising for their first "AI & Automation Specialist". Before you hire, here is how it compares with getting the work built for you.
Why businesses are hiring for AI
The pattern is familiar: the business knows there is a lot of manual work that AI could take on, someone senior is carrying the systems in their spare time, and the answer seems to be one technical hire who can "own AI".
That can work. But it is worth being clear-eyed about what that one person needs to be: a developer, an integrations specialist, a data person, a security-minded systems owner and a change manager who can train the team. That is a rare and expensive combination.
The real cost of a hire
- Time to start. Recruiting a good technical person often takes months, and then they need time to learn the business.
- Total cost. Salary is only part of it. Add super, payroll tax, leave, equipment, software and management time.
- Key-person risk. If the systems live in one person's head and they leave, the know-how goes with them.
- Breadth. One person has one skill set. Real projects usually need several.
When outsourcing the build makes more sense
A specialist build partner tends to be the better fit when:
- You have a clear list of jobs to automate, but not years of ongoing engineering work.
- You want results in weeks, not after a recruiting process.
- You want everything documented and built in your own accounts, so you own it outright.
- The role you were about to advertise is fixed-term, such as a 12-month project.
When hiring makes more sense
Hiring is the right call when technology is core to your product, when there is a long roadmap of continuous development, or when you need someone embedded in day-to-day operations full-time. Even then, many businesses get a partner to build the first systems so the new hire starts with something working.
A middle path
A common approach is to outsource the build, keep the systems in your own accounts, and have a partner keep them running on a month-to-month plan. If you later hire, everything is documented and ready to hand over. You get the benefits of an AI team without committing to headcount before you know exactly what you need.
Questions to ask either way
- Who owns the code, the accounts and the logins?
- Is the price fixed, or open-ended?
- What happens if the person or partner leaves?
- Will they tell you when something does not need AI?