What do you mean wanting to be rewarded for playing well doesn't make sense?! That's absolutely ridiculous. The problem with your analogy is, we ARE being ranked individually, not as a team of twelve players acting as one body. The ranking system should reflect more than just wins and losses because even though we have the option of playing as a team, we want our personal statistics to determine our personal rank. A player who plays really well shouldn't be penalized because he ended up playing with some bad players that caused his team to lose. The same goes for vice versa: A very poor player shouldn't be able to be carried to a 50 (or the equivelant of), simply because they play with very skilled players, while barley contributing themselves.
Having a ranking system acknowledge more than just (but by no means excluding) wins and losses is the only way to display a players true skill.