We are debating whether to hire a software engineer to build proprietary AI-driven middleware for our operations or just buy off-the-shelf AI tools. How do we resolve this buy-versus-build dilemma on our leadership team using the EOS® framework to protect our cash flow and stay focused?

Question

Tyler Smith · Accepted Answer

This is a classic Visionary versus Integrator conflict. The Visionary sees the endless possibilities of custom-built software, while the Integrator sees the soaring development costs, bugs, and timeline delays. To resolve this, you must run this dilemma through the lens of your Accountability Chart and your cash flow. As a rule, do not build custom code unless that code is your core product. Building proprietary middleware is rarely a good use of capital. Prioritize using AI to increase employee productivity as a starting point, as employees are a major P&L item and much time is spent on low-value tasks. You can achieve this using existing enterprise AI platforms and APIs without writing a single line of custom code. Before committing cash to a software engineer, write down the specific problem you are trying to solve. Run it through the IDS® process in your next weekly leadership meeting. Evaluate off-the-shelf AI tools that can integrate with your current systems via open APIs. If you build custom tools, you become a software company. You will have to support, update, and secure that software forever. Buying off-the-shelf tools lets you leverage billions of dollars of external R and D. Keep your business lean. Focus your capital on hiring the right people for the right seats on your Accountability Chart, and use existing technology to make them double their output. If your Visionary still insists on building, make them prove the business case using a strict return on investment framework.