There are cases to be made for the advantages and efficiencies of all approaches, but, generally, you need to be a strong development team to carry and build up the weaker team members - if everybody is too focused on product and producing to care about helping their fellow team members to improve, your team is overtaxed (too weak for the job at hand) and probably not able to perform well (provide a reliable living wage for the developers while producing and maintaining the product) in the long term.
Yeah, I think that is the important -- and only -- message here. From the summary:
How your team members treat that person is a significant indicator of your organization's health
This, and only this. If your organization is doing well on the market, and very successful, it can afford to treat their "idiots" well. If times are rough, and everybody is struggling hard to get things done and achieve success, this will stop. In other words, if you're treating your "idiots" badly, it's probably because you're already in deep shit.
However, the converse is not necessarily true: it does not follow that just because you're nice to your "idiots", your team will be successful. Sadly, as much as I'd like to interpret such a feel-good message into TFA, I'm afraid it probably doesn't work that way.
My personal experience seems to indicate that yes, you do want to treat your "idiots" well simply because everybody likes a good work climate, and nobody likes assholes. And personally I'd rather not do as well but at least know that I'm not acting like an asshole trying to beat the team into performing better. But in the end, what motivation and performance you can instil in your "idiots" is unlikely to match what you could achieve by replacing them with individuals that are more capable of doing the required work.