To be honest I could not really see what it does, from the example mission supplied. It just looked like it was following the waypoints in the order they were selected on the map. I'm sure there must be more to it than that?
I saw this as a possible method to allow the AI to navigate Islands, depending on the type of vehicle and roads. Or allowing the AI to dynamically navigate around enemy areas, or blockades, supply routes e.t.c If you could associate each route with the road systems Object ID's, you could automatically generate the waypoints.
A more practical example of what it can do, would help me.