I have to agree.
I organize my music in folders: artist, then album.
Easy to navigate.
Each time I try to use some tagging mode (doesn't matter whether rockbox or amarok or something else), it screws up.
The tags e.g. for the artist usually use different ways to spell the name, or what to do with spaces, or umlauts, so I end up with multiple folders for the same artist, just written in a slightly different way. Then having to figure out in which of these folders the album I'm looking for is located is too much.
Maybe it wouldn't be a problem if editing the metadata would be straight forward, but it isn't. Editing directory names is straight forward.