Yes, but the military also has a bunch of people that are "getting over" as well. Just like any big organization, rank/hierarchy is important for the overall organization or structure, but is not always an indicator of skill, ability, or level of motivation.
No doubt...The 80/20 rule applies (as we're currently seeing in the news) during my time in The structure was there to discover, develop, and nurture leaders. In my Ranger Company alone our C.O. retired a 3 Star General. One of my Squad Leaders... Walter Rakow went on to be the RSM another member of my Squad Ralph Borja is still having a distingushed career as one of the top N.C.O.s in the Army a third Jeff Mellinger was last I heard the Senior Enlisted man in Iraq. I could go on and on and no doubt it may not be reflective of the entire organization.My point is the structure of "transmission" is there in large institutional organizations to develop the next generation of teachers and leaders.
The same structural paradigm can be applied to Aikido IMO.