You’ve seen it happen. A company hires a “Head of AI” for $250K+ base, plus equity, plus a signing bonus. Six months later? The executive team is frustrated. The hire is burned out. Nothing has changed.
The problem isn’t the person. It’s the strategy.
Why 70% of AI Hires Will Fail in Their First Year
Here’s what happens when you hire AI talent without an AI talent strategy:
- The brilliant data scientist gets stuck building reports instead of models.
- The AI strategist spends months trying to figure out what the business actually wants.
- The ML engineer builds impressive demos that never see production.
- The transformation lead fights internal politics instead of driving adoption.
In the rush to “launch AI,” most organisations are at risk of making the same expensive mistake: hiring first, strategising second.
The Real Cost of Getting This Wrong
A failed AI hire costs far more than a salary. It creates:
- Opportunity cost: 6–12 months of delayed AI initiatives while you restart the search.
- Team morale issues: Employees lose confidence in leadership’s AI vision.
- Budget waste: Salary, equity, and onboarding costs for roles that don’t deliver.
- Reputation damage: Word spreads quickly in tight AI talent networks.
What Successful AI Hiring Looks Like
The companies winning the AI talent war don’t start with job descriptions. They start with strategy.
Before posting a single role, they know:
- Which business problems AI will solve (and which it won’t).
- Where AI fits into their 2-year growth plan.
- How success will be measured beyond “we have AI now.”
- Which skills they need to buy vs. build internally.
That clarity is what attracts great talent and sets them up to succeed.
Why This Can’t Wait
The AI talent market is getting more competitive and expensive every quarter. Companies with clear strategies will secure better talent at better prices. Those without will keep overpaying for underwhelming results.
More importantly: every AI hire you make sets off a chain reaction - workforce planning, learning programs, culture change, EVP, and governance. It’s not just about one person. It’s about the whole system they walk into.
Your Next Move
If you are planning AI hires in the next 6 months, don’t start with job descriptions. Start with strategy. Ask yourself:
- Do we know exactly what problems our AI hire will solve?
- Can we describe what success looks like in measurable terms?
- Do we have a plan for the 90% of our workforce who won’t have “AI” in their title?
If the answer to any of these is “no,” then you are at risk of making a $300k+ mistake.
Our Impact of AI Diagnostic helps you answer these questions before you post your first role. In just 2 hours, you’ll get:
- A clear map of where AI will have the highest impact in your business.
- Specific role definitions for the AI talent you actually need.
- A workforce plan that balances external hiring with internal development.
- A roadmap for building AI capabilities that stick.
Schedule Your Diagnostic Session
And if you want to zoom out further, read our companion piece: [So You Need an AI Talent Strategy]. It explores the 10 pillars HR leaders must plan for once that first AI hire is made. Because hiring for AI isn’t just a role - it’s the trigger for everything that follows.