ACV Capital and KEARNEY launch playbook to help companies retain top talent in the digital age
Published on January 24, 2025
ACV Capital (formerly AC Ventures), a leading Southeast Asian venture capital firm, in collaboration with KEARNEY, today launched a practical guide designed to help startups address the challenge of retaining top talent in today’s fast-evolving job market. Titled “Winning the Talent Game: Playbook to Retain Top Talent for the Digital Age,” the playbook offers startups actionable insights, strategies, and best practices to build effective employee retention programs.
In a recent survey conducted by KEARNEY, involving over 40 companies ranging from pre-seed startups to established enterprises, nearly 91% of employees reported actively exploring new job opportunities. However, the survey also revealed a critical insight: 81% of employees would consider staying if their workplace met specific conditions. These conditions primarily center around offering meaningful work, career flexibility, and opportunities for rapid growth.
“For talent retention strategies to be truly effective, leaders must actively shape the work environment through positive culture, provide meaningful growth opportunities, and prioritize measurable metrics for continuous evaluation and improvement,” said Derisa Zahara, Associate VP of Organization & Talent, ACV Capital.
The playbook highlights the significant business benefits of investing in employee retention. Companies that prioritize engagement and development report up to a 15% increase in productivity. Additionally, startups focusing on retaining talent can reduce turnover rates by as much as 40%, leading to greater long-term stability. Retaining top talent also contributes to stronger customer experiences, with employees who are engaged and satisfied helping improve Net Promoter Scores (NPS) by up to 15%. These efforts translate into tangible business outcomes, including a 20% increase in bottom-line growth.
One of the key strategies emphasized in the playbook is the importance of developing a strong and appealing employee promise. This approach aligns a company’s offerings with the values and aspirations of its workforce, helping startups create a culture that not only attracts top talent but also keeps them engaged and committed long term. Key strategies include fostering a purpose-driven culture, offering flexible work environments, and empowering employees to grow in their careers.
“Talent retention today goes beyond just perks or paychecks,” said Karina Widagdo, Principal at KEARNEY Indonesia. “We must engage with talent, actively listen to their needs and aspirations, provide a sense of purpose, foster growth, and build capabilities that also align with organizational goals.”
A focus group discussion with HR leaders from ACV Capital’s portfolio companies, including Astro, ESB, and DurianPay, revealed that retention strategies must go beyond compensation alone. The insights from this discussion, which are featured in the playbook, show that for startups operational for over five years, nurturing a positive culture and investing in employee development are the most effective retention strategies. These factors far surpass competitive salaries as key drivers of long-term employee loyalty.
The collaboration between ACV Capital and KEARNEY underscores the urgency for startups to address the evolving dynamics of talent retention in Southeast Asia’s fast-paced digital economy. By offering data-driven insights and actionable strategies, the playbook equips businesses to adapt to the shifting expectations of the modern workforce, ensuring sustainability and long-term success in a competitive market.
Download the full playbook via: https://acvcap.com/resources/talent-retention-playbook/
