The system is only broken because people feel compelled to tip 20% no matter what. My tipping works as followed:

Horrible Service: 10% Decent Service: 15% Good service: 20% Great service: 25+%

Rarely do I tip less than 20% but if I do, I the experience was likely bad enough that I've spoken to a manager. -Most people don't do this, they just leave the 15-20% and kick the can down the road to guys like me.

I'm fortunate to be able to eat in some nice restaurants from time to time. In fact, last night I had the Chefs tasting menu here. -Where you live you are swimming in 5 star restaurants, we unfortunately are not... but this one was fantastic. The server received a 25% tip which was more than justified. When he walked us out of the restaurant, he passed the fireplace where our coats were being "warmed" next to the fire and helped us in to them and then gave us some scones for our morning coffee. -Top notch.

The system works in these types of restaurants. It's broken at Buffalo Wild Wings. At places like that there is a sense of entitlement. "I'm going to give you lackluster service and you're going to tip me 15-20% regardless" is the mindset. -I would agree that the system is bullshit in those types of places. It works well in fine dining though.