It looks like the concept of "Reality" is being used as a sort of authority or credence to a desired plan. You're the designer, you don't need a reason -- do what you like!
And I like to do it the way, it feels like a real military :-P That's my desire :)
Also I was thinking along the lines of WWI - WWII - cold war era military (I'm not interested in the very modern assymetric warfare).
OK, back on topic. About the combat simulator.
I thought on the concept of "combat/front width" which is used in some heavier wargames. Actually, I'm not sure how it works in detail but it's used to limit the number of units that fight each round.
I was also thinking of phases. Like:
* first bombers try to bombard enemy lines with interceptors and AA trying to counter it
* then artillery starts shooting (you get a bonus if your recon airplanes passed a recon test)
* next fast units (light tanks and other light vehicles) do their action, they could for example quick strike artillery, acquire a better tactical bonus for the whole army (by attacking some weak spot, countering maneuver of infantry)
* the second round of artillery fire (some will be disabled due to action of fast units in previous phase)
* next tanks rush to break enemy lines (hellicopters and anti armour can counter it)
* mortars starts firing (vs infantry only)
* then clash of infantry
If at any point infantry get's demolished (not necessarily fully destroyed) then battle is automaticly lost no matter how many other uinits are stil capable of fighting.
Then you can have "special stuff" like if you invent and apply "paratroopers doctrine" you can use some air transporters to drop infantry behind enemy lines and disrupt it (you would get another phase), or you could send commandos, or use electronic warfare to disrupt communication. All these would grant you a new phase (which emans the game will become more complex as it progresses, which is good I think).