LFG has become a needed evil in WoW. You need it to get groups quickly and efficiently. It has also brought the douchebag phenomenon to a whole new level.
Back in the day, we had to walk 10 miles, uphill, in the Snow, with no shoes to get a group for instances. That sucked. A lot.
There were also great advantages to this method. You met people. If they were good, you put them on your friend list and would whisper them for future runs. This built up a team, and this is how I met a lot of my in-game friends.
Those days are mostly long gone.
Now, you get into a random instance, blitz it, and get on with your day.
People have free reign to be a dickhead, because if they are....who cares? Not like they are going to see these random people ever again.
Back in the day, your reputation meant something. If you were classifed as a BAD or a Ninja, you did not get groups. You either did not run anything, or you transfered servers. There was a price for being a douchebag.
Now there is not.
I think that they could add a couple of options to LFG to make it a little bit better.
1) Add and option for realm only LFG. Just a check box. If there are sufficient people on for this, then it throws you into an instance with people that are on your server. If not, it gives you a warning message and asks if you would like to join regular LFG.
2) Add a rating system for players. After a run, a screen pops up and it lets you rate each person in the group with a thumbs up or a thumbs down. There could also be a place to leave a comment. This would be a way to give someone contructive criticism as well as ensure that bad players get grouped with bads and vice versa. Maybe the rating system will group people of similar ratings.
These are just a couple of quick ideas off the top of my head. I do not miss waiting around to get a group. I do miss the friendships that were made and the accountability that people had to face if they acted like fucktards.