I agree with this within reason. In the AKC, oversize is not a disqualifying fault, there is more emphsis put on balance, so if the judges are putting dogs up that are significantly over sized, then people will breed for that, and it is on the judges to take that into consideration more.
Of course if two dogs are pretty equal and the more correctly sized dog shows weakness in temperament, the dog that is outside hieghtwise should get the ribbon, or no 1st place ribbon should be given, though size should not come before temperament or more serious structural issues. If all the dogs in the ring are 2-3 inches taller than they should be, then there is a problem with judging and that should be addressed.
On the other hand, if you have a great bitch who happens to be 25 inches, don't throw away the baby with the bathwater. She is a little over-sized. Perfect is in heaven. A 25 inch bitch will generally weigh in at 70 to 80 pounds. It is not like a 115 pound bitch.
The standard is something we strive to meet. And if our bitch is weak in one area, we want to breed her to a dog who is correct in that area, and who produces dogs that are also correct. If the fault is not a disqualifying fault, then I don't have a problem with using such a dog, so long as it isn't grossly outside of the standard. Remember too that the AKC has only a standard on height and not weight. So dogs can vary widely dependent on what his structure is like, and the amount of bone he has, and what his owner considers fit. What is grossly out of the standard? 10%? 20% If we are only talking height, a bitch should be 22 to 24 inches, 10 percent would make a 26.4 inch bitch. The SV is simpler, they give you half a cm I think. I think that is a bit too strict, depending on the whole picture of the dog.