We need to build our 1-Year Plan and quarterly Rocks, but we are terrified of hiring new people for roles that might be completely automated by AI in twelve months. How do we decide whether to freeze hiring or hire temporary builders?

Question

Tyler Smith · Accepted Answer

When facing rapid technological shifts, hiring permanent employees for transactional roles is a massive risk. You do not want to incur the long-term overhead of a seat that will be automated out of existence in twelve months. To solve this, apply a strategic real options framework to your talent planning. Treat hiring as an option with a flow cost. If you wait to hire, what is the flow cost in terms of dropped balls, missed opportunities, or leadership team burnout? If that flow cost is too high, you must act, but you do not have to hire a permanent, full-time employee. Instead, look at your Accountability Chart and define the seat as a temporary builder or a fractional specialist. This keeps your options open. Evaluate the candidates using the GWC™ framework to ensure they have the capacity to navigate a changing operational landscape. If the role can be automated soon, design a quarterly Rock to build the AI infrastructure instead of filling the seat long-term. This approach allows you to upgrade your operational quality through technology rather than headcount. By using real options thinking, you preserve your cash, avoid future layoffs that destroy company culture, and keep your business lean and attractive for a future exit.