When to build, borrow or buy talent

In a world where every business plan feels written in pencil, workforce strategy has become a leadership imperative. For mid-market organizations navigating economic uncertainty, shifting customer expectations and rapid technological change, the question isn’t just who to hire — it’s how to hire.

Should you build talent from within, borrow it through outsourcing or fractional support or buy it by acquiring another company’s capabilities? The right answer depends on your goals, your risk tolerance and the pace of change in your market.

The workforce equation is shifting

Wipfli’s Outsourcing Report — based on a survey of 360 C-suite leaders — reveals how organizations are rethinking the build-borrow-buy equation. Nearly three-quarters (72%) of leaders said they’ve outsourced some business functions or executive roles, and 78% did so within the last six months.

Why? Leaders are facing a reality that internal hiring alone can’t solve.

• 92% of respondents said access to expertise was their top driver for outsourcing.
• 86% said it allowed them to focus on core functions.
• And 93% of those who outsourced were satisfied with the experience.

As one manufacturing CIO put it, “The experience has been seamless and engaging. It’s helped fill skill gaps and let us focus on strategic objectives.”

The data shows what many leaders already sense: The definition of a “team” is expanding. Access, not ownership, now defines agility.

Build: Invest when capabilities are core to your advantage

Building talent internally makes sense when a capability directly supports your competitive edge — the differentiators that make your business unique.

At Wipfli, we often remind leaders that performance transformation begins with people. Building internally lets you shape culture, institutionalize knowledge and grow leadership pipelines, unlocking the full potential of your people so that you can ensure sustainable growth and continuing success.

Investing in internal capability also means prioritizing upskilling — not just for leaders, but for associates across every function. Many organizations underestimate how much growth is hidden in their existing teams. Wipfli’s organizational performance consultants emphasize that effective development goes beyond technical training to create systemic, lasting behavioral change that aligns with business goals.

Upskilling has become a defining leadership challenge. In one Wipfli analysis of the construction industry, only 20% of firms said upskilling their teams was a top business priority, even though 42% of employees struggled to use technology effectively.³ Similar gaps exist across finance, where future-ready leaders must learn to interpret data and model scenarios, not just report results.

And with the rise of AI, the demand for associate upskilling is only growing. In an AI-enhanced future, your top performers will need a blend of technical acumen and soft skills — stronger data literacy, critical thinking and adaptability.

It’s the right path when:

• You have stable demand for the skill set.
• The role is strategic to your long-term direction.
• The capability drives customer experience or intellectual property.

However, “build” takes time and investment. Upskilling programs, mentorship and leadership development all require consistent attention.

During volatility, many organizations find their internal development budgets competing with urgent operational needs — and that’s where borrowing talent fills the gap.

Borrow: Extend your bench with outsourced and fractional talent

Borrowing is about buying time and flexibility. It allows organizations to tap into high-value expertise without committing to full-time hires.

Outsourcing most commonly supports finance, technology and HR — functions where specialized knowledge and compliance demands run high.

• 47% of companies outsource finance and accounting
• 46% outsource technology roles
• 34% outsource HR-related work

Leaders said the biggest benefits were time savings, cost efficiency and lower stress. Many also reported faster access to modern tools and processes. As one technology CFO said in a Wipfli outsourcing research report, “I was able to cut costs and streamline operations by outsourcing duties typically performed in house.”

Borrowing talent can take many forms:

• Outsourced functions (e.g., accounting, IT, payroll, HR)
• Fractional leaders (such as an outsourced CFO, CIO or CHRO)
• Project-based specialists (for digital transformation, analytics or risk management)

This model helps organizations maintain focus on what matters most — strategy, innovation and customer relationships — while gaining bandwidth and technical depth where needed.

Wipfli’s perspective is to borrow when expertise, scale or speed outweighs the need for control.

A strong example is the case of MAREN Construction. Faced with owners spending two full days each week on accounting and lacking financial visibility, they partnered with Wipfli for outsourced accounting and CFO services. Within two months Wipfli had cleaned up their books, implemented processes, and returned full year-financials; the owners gained back over a dozen hours per week to focus on business growth.

You’ll know borrowing is the right solution when you face one or more of these situations:

• You need specialized capability or expertise that’s difficult to hire quickly.
• The workload is variable or project-based, making full-time hires less efficient.
• You’re in an uncertain environment and don’t want to commit to permanent head count until clarity emerges.
• You want to test a new capability or technology before investing heavily in internal build.

In short: Borrowing is about getting more done, faster, with less overhead — while your organization maintains strategic focus on what it does best.

Buy: Acquire talent when you need capabilities fast and permanently

Buying talent through acquisition or merger is the fastest way to lock in capability. It’s also the most complex and capital-intensive.

The share of companies citing “acquiring talent” as a reason for M&A activity has increased from about 25%.

“Buy” makes sense when you need:

• Proprietary technology or intellectual property that gives you a strategic edge.
• Access to new markets or customer segments through acquisition of a business with established presence.
• Immediate bench strength in leadership or technical roles that would take too long to build internally.

Successful acquisition isn’t just the transaction: Integration matters if you want it to help you grow, increase liquidity and find new talent.

However, the post-acquisition integration process can be as challenging as the deal itself. It involves aligning cultures, consolidating systems, onboarding new leadership, harmonizing operations and realizing synergies.

Many organizations are discovering that borrowing (outsourcing or fractional arrangements) can serve as a lower-risk “trial run” before a full acquisition. Borrowing first lets you test:

• Cultural fit between teams
• Process alignment and system interoperability
• Return on investing in the capability

Then, once the model is validated, you can move to buy with more confidence.

How to decide which path fits your future

When talent strategy is uncertain, use these five questions to determine whether to build, borrow or buy:

1. Is the capability core or context?

If it differentiates your business, build it. If it’s essential but not unique (e.g., payroll, IT maintenance), borrow it.

2. How fast do you need results?

Building takes time; borrowing gives you momentum; buying delivers instant ownership — but with complexity.

3. What’s your risk tolerance?

Borrowing can de-risk major decisions by letting you test solutions before making permanent hires.

4. How fluid is your demand?

When workload fluctuates, outsourced partners offer scalability that permanent staff can’t.

5. What’s the opportunity cost of doing it yourself?

If internal focus on non-core work slows innovation or revenue growth, it’s time to borrow or buy.

Finding your best path forward

Whether you’re building internal capability, borrowing talent through outsourcing, or buying through acquisition — the right choice depends on your goals, timing and capacity for change.

Wipfli can help you evaluate your options with clarity and confidence. Our advisors bring a cross-disciplinary view that connects strategy, operations and people — helping you align every decision with long-term growth.

If you’re still weighing your next move, we’ll help you assess where to invest, where to supplement and where to scale back. And if you already know your direction, we can help you accelerate:

• Build: Strengthen leadership and workforce capability through team and talent development services that unlock performance, engagement and growth.
• Borrow: Gain immediate capacity and expertise through outsourced and fractional services across finance, technology, HR and operations.
• Buy: Execute with precision through M&A and transaction advisory services — from due diligence and integration to leadership transition and change management.

In an uncertain market, your people strategy is your growth strategy.
Let’s find the smartest way to move forward — together. Contact a Wipfli advisor today.