There's nothing wrong with it in concept. The problem is that they are just an extra level who don't know what is always going on at the local level. When they do get moving since they are an extra level it just takes longer to get things done.
Now that said. They are good to break ties in arguments between facilities, but some of the decisions that are made there are pretty boneheaded at times. My opinion is that no one there should be there any more than two years and should all come from the field from an active controlling position. This normally doesn't happen... They lose too much perspective as to what goes on in the trenches.
regards