I don't know if that realy is an indicator for the bad shape of the Army (even though after years of civil war it sure is in a bad place).
It's rather a tactic which was developed from some german commanders prior to world war 2 and became implemented in the whole army after it showed impressive results in the polish campaign. Later it was given up due to the high losses of experienced officers. Nonetheless some Generals stuck to it during the entire war.
It has some strength to it such as a direct line of communitcation between the commander and its troops which gives him the ability to react quicker to the situation on the battleground and gives him the ability to face and supress possible resistance besides just strengthening the moral of its troops.
Generals like Rommel and Guderian had great success with this stlye of leading.
So there are a few other reasons than sheer desperation for a General to use this style of command.
[EDIT]
It seems as if the battle fo Aleppo is going to end soon:
Aleppo operation in final stages, Syrian general says | Syria News | Al Jazeera
Some sources claim that the city has already been recaptured by the Regime.
I wonder how many troops will be free to be used on other frontlines after this battle?