working in Design View VS. Code View

I'm interested in finding out how web developers and designers
generally utilize Dreamweaver and its Design and Code views.

Our web develpoment supervisor has recently handed down a mandate that
future projects will be developed strictly using Dreamweaver's Design
View. His vision is for a particular site to be designed by one of our
web designers, with components of the finished design broken into
snippets that developers should just be able to "drop" on subsequent
pages while in Design View. Ultimately he'd like everything to be
snippet and css driven, with no need for developers to even concern
themselves with the code behind each page.

I've been assigned the task of making this happen, and am interested
in knowing if others work in a similar fashion. Personally, I can see
pros (ultimate control of design elements and layout; faster
development times) and cons (code becoming exponentially corrupted as
different people add and subtract elements without considering the
effects this would be having on the HTML).

In addition, we'd also like to do the above AND remain XHTML
compliant.

Comments, suggestions, considerations?

Thanks...