Yes, the weaker outliers getting picked ahead of stronger stuff is problematic. Not just because of the frustration itself, but because it makes you think 'Well, if that's what they're after, how about this one?', which then gets roundly rejected, perhaps rightly, but they've almost tempted you into nominating less striking material.

Plus the experience of having two pieces that are so similar in style, tone, structure - but different content - receive different decisions, when both were well above the minimum standard set by the weakest piece you've had accepted.