Reflecting on my auditor job rejection and considering reapplying in the public sector

I recently went through the final stage of the hiring process for an auditor position in the public sector. Unfortunately, I was ultimately rejected after a few weeks of silence. The hiring manager called me last week to personally deliver the news, and she sounded genuinely apologetic. I learned that I lost out because I lacked specific public sector audit experience, while the successful candidates had that background. Although I have relevant experience from working at a Big 4 firm and currently as an analyst at a government agency, the public sector has strict hiring criteria, and I was up against some tough competition. The hiring manager encouraged me to keep an eye on future openings and to apply again if I was interested. While my friends think this is just a polite way of saying no, I actually feel like I understand why I wasn't selected and don't take it personally. I'm considering reapplying when they announce new vacancies because I see a lot of potential for career growth in that organization. However, I'm a bit apprehensive about going through the same process with the same hiring managers, especially since their unit is relatively small. I've read about others who have successfully reapplied after being rejected, so I'm curious if anyone else has had a similar experience. Did reapplying work out for you? Would the employer think it's odd if I tried again?

Job title: auditor

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