If I'm not mistaken, you said you have not had much time behind an AR-15 rifle. I'm not sure what your background is with any semi-auto rifle, but here are some of the things I've learned:
1) Even with the "best of the best" hardware and ammo, it still all comes down to the shooter and his mastery of the fundamentals. Proper trigger control is king, along with quality bench resting. I'm not sure if you are shooting off a bipod or some kind of bench rest system, but trigger control, breath control, adequate loading of the bipod and a super solid shooting position is what leads to consistently tight groups. A mil spec trigger is not intended for precision/tight groups
2) The ammo you are using to zero is "good enough" to be sure for "combat effectiveness" and the comment somebody posted here about keeping in mind what your AR is designed to be and to do is also wise. It's a combat rifle, intended to poke holes in humans tightly enough to incapactate/kill. Your particularly AR is most definitely not going to produce "match level" results, but ....
3) Better ammo and more time behind the trigger will produce better results. Better quality ammo will also product better results, and of course you can run really high-price match level ammo through it and get the best results, but those results will not be repeatable with simple range type ammo or simple mil-spec stuff.
4) The best piece of advice I've seen so far is that you need to follow a disciplined training regime with the AR to get acceptably accurate groups against a clock from various positions as quickly and accurately as possible. That's what the RDS if for on an AR, it allows you to go from low ready to on target as quickly as possible. The more you train the better you will get.
5) Not having said all that, if you get bit by the "precision rifle" bug and still want to use the AR, you can get the right parts together and get much greater accuaracy: 20" match grade barrel, national match/SSA-E trigger from Geissele, as quality a magnified optic as you can afford, super-solid bipod and lots of match grade ammo and practice. You will get sub-MOA results out of the right hardware.
But, for now, I'd focus on speed and accuracy and mastering the fundamentals of your mil-spec AR set up.
FWIW.