Some merit, although the problem at the bottom end is that there are teams down there that have an ordinary list and deserve assistance (e.g. Carlton) and others that are poorly coached and/or gutless and/or milking the system and shouldn't be helped (e.g. Hawthorn).
My idea has been that the picks are allocated as follows:
The teams, starting with the last placed team choose the first round pick that they want. As you go up the ladder, teams can only choose from the picks that have not yet been selected. Each team gets their selection for every odd round, and the opposite pick for every even round.
So lets say that the team that finshes last chooses to have the first pick. They get awarded the first pick in rounds 1, 3, 5, 7 and the last pick in rounds 2, 4, 6, 8. The team that finishes 15th may think that the player they want is going to slip through to pick 4 and can choose to have pick 4 as their first pick. They get pick 4 in every odd round, and pick 13 in every odd round. The team that finishes 14th might think that the first round and a bit is very good and the the quality tapers off thereafter, so they choose to have pick 16 as their first pick in order to have two picks when the quality is around.
So that would mean
16th: picks 1, 32, 33, 64 etc.
15th: picks 4, 29, 36, 61 etc.
14th: picks 16, 17, 48, 49 etc.
Seems pretty simple and allows some small advantage to the teams finishing last, but not enough to encourage failure. By making the decision up to the clubs, it seems to actually reward those clubs with recruiting nous even more.