My logic is that a team is as well off, as it's placed in the standings by the points it collected. All the rest are speculations. If they are 3rd in the division and 8th in the conference and remain 3rd and 8th after 10 losses to conclude the season, they are neither better, nor worse off. That's the rationale behind ranking by points, and I said multiple times, this ranking is used worldwide in many disciplines.
Have you ever watched a traditional Nordic ski or a biathlon race? The competitors are never ranked by their average speed, only by their time at finish (or at checkpoints).