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It's got a lot of potential, but nobody's using it. It needs actual tournaments with prizes AND BEST OUT OF GAMES. 1 game in Pokemon is crap. There's a lot of chance involved and the more games you play the less luck is a factor. Also, games take like 5 minutes, anyway, and that's anti-climactic. There also needs to be some kind of draft ala mode ala dota and/or football, since that would force people to know how to teambuild and would allow more diversity.
As far as what we've got now, Smogon's rules are the best we have. I would however like to see OU not be the most played, which would mean tiers would not be able to be based on usage (at least not wholly)