Abstract

This article aims to enrich our understanding on the concept of dynamic capabilities (DCs) according to a recent study on service quality and customer satisfaction for one agency in the public sector of Malaysia. Based on the findings, the discussion is focused on the element of staff and the dimension of policy development according to the critical responses. Through the lens of DCs, this article explains how the transformation processes of staff efficiency with talents enrichment will possibly increase the customer satisfaction towards a better policy development. This shows that the concept of DCs can be demonstrated in the public sector (e.g., non-profits oriented), which is still rarely discussed relatives to the private sector (e.g., profits oriented). At the ends, a proposition for empirical research based on the conceptual framework is suggested, in order to verify the mediating effects of talents enrichment (transformation processes) in the relationship between staff efficiency and policy development.

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