First, let's look at the entire roster combined for Raw and Smackdown. Keep in mind that it is going to get bigger once ECW dissolves.
The rosters are color coded and the parenthesis indicate their Face/Heel status and how many of each type are assigned to each roster.
Main Eventers (8)
John Cena (F1)
Triple H (F2)
Shawn Michaels (F3)
Randy Orton (H1)
Sheamus (H2)
The Undertaker (F1)
Edge (F2)
Batista (H1)
Raw: 3 Faces, 2 Heels
Smackdown: 2 Faces, 1 Heel
Upper Midcarders (4)
Kofi Kingston (F1)
Big Show (H1)
Rey Mysterio (F1)
CM Punk (H1)
Chris Jericho (H2)
Raw: 1 Face, 1 Heel
Smackdown: 1 Face, 2 Heels
Midcarders (8)
Mark Henry (F1)
MVP (F2)
The Miz (H1)
John Morrison (F1)
R-Truth (F2)
Kane (F3)
Matt Hardy (F4)
Drew McIntyre (H1)
Raw: 2 Faces, 1 Heel
Smackdown: 4 Faces, 1 Heel
Lower Midcarders (9)
Evan Bourne (F1)
Chris Masters (F2)
Jack Swagger (H1)
Chavo Guerrero (H2)
Carlito (H3)
Finlay (F1)
Great Khali (F2)
Luke Gallows (H1)
Dolph Ziggler (H2)
Raw: 2 Faces, 3 Heels
Smackdown: 2 Faces, 2 Heels
Jobbers (6)
Santino Marella (F1)
Slam Master J (F1)
Jimmie Wang Yang (F2)
Kung Fu Funaki (F3)
Charlie Haas (H1)
Mike Knox (H2)
Raw: 1 Faces, 0 Heels
Smackdown: 3 Faces, 2 Heels
Tag Teams (3)
Legacy (H1)
Cryme Tyme (F1)
Hart Dynasty (H1)
Raw: 0 Faces, 1 Heel
Smackdown: 1 Face, 1 Heel
Divas (11)
Melina (F1)
Gail Kim (F2)
Kelly Kelly (F3)
Maryse (H1)
Jillian Hall (H2)
Mickie James (F1)
Maria (F2)
Michelle McCool (H1)
Beth Phoenix (H2)
Layla (H3)
Natalya (H4)
Raw: 3 Faces, 2 Heels
Smackdown: 2 Faces, 4 Heels
I think they clearly have too many superstars to maintain one large roster. But they have enough superstars to maintain two rosters ... even without the ECW talent that will be factored in soon.
Why I wanted to group the superstars according to their rank is to examine and see if there was a problem in not having enough superstars in a certain division. I have come to the conclusion that there are a couple problems. And I can sense that there are problems when watching their television, but unless you look at the problem critically and get it down on paper, you may not have your thoughts as organized as they should be.
1) There is not enough talent in the Upper Midcarder division. 5 wrestlers? Are you kidding me?
This is critical to have because these are your wrestlers you should be gearing towards future Main Event status ... and it has also been one of the key reasons WWE has lagged behind the past few years. They have not done enough to promote talent into this division, and ALSO have not done enough to establish credibility amongst the talent in this division.
2) There needs to be a much better balance of talent between Raw and Smackdown as there are large variances between both brands in a number of the classifications.
Some of the worst variances are:
Main Eventers- Raw has 5 Main Eventers and Smackdown has only 3. And only 1 is a Face. Smackdown needs at least one more Main Eventer from the ones we currently have.
Jobbers- Raw has 1 Face, 0 Heels, and Smackdown has 4 Jobbers. Send at least one of them to Raw.
Midcarders- Raw has 3, but Smackdown has 5. One needs to be sent to Raw from what is currently available.
And lastly .....
3) There are also too many variances between the number of Faces and Heels on each Brand:
Raw needs another Heel Main Eventer for a total of 3 and 3.
Smackdown has 1 Heel Main Eventer.
Smackdown has 1 Face Upper Midcarders, and 2 Heel Upper Midcarders
Raw only has 1 Heel Midcarder, and 2 Faces.
Smackdown has 4 Face Midcarders, and only 1 Heel. Ridiculous!
Lower Midcarders are okay for the most part.
Raw definitely needs a Heel jobber.
Raw needs a regular Face Tag Team
Smackdown has 1 regular Face Diva, 1 Part time Face Diva, and has 6 regular Heel Divas. Also a major problem.
So the problem is that after looking at this on paper and looking at it with a critical eye, WWE does have enough talent to support 2 rosters. The problem is that they are not organized with balancing out their divisions between Raw and Smackdown, and are furthermore not organized in balancing out the number of Faces and Heels in each division.
That is why we have Stale matches done repetitively.
WWE needs to actually take action to help Smackdown's Main Event issue, as well as work their asses off to bump people up from the Midcard to the Upper Midcard. They need to look at this, determine what their needs are in what they need in the division up, and give some people some pushes to fill the gaps.
It's all in the Organization, figuring out what your needs are, developing an action plan, and executing that plan to fill those needs.
That is what they are doing wrong. They have been entirely too lax with writing TV on the fly and not looking at the problem with a more critical eye. And that is why it has come back to bite them in the ass these past couple years.