its not too hard to chmod on the server, the tarbell method is just an extra un-necessary step. if your going to do that, you might as well just right click, chmod on the server.
The tarbell method would work if you have to upload that same set of files to different servers, ect. So if its something to do once or twice just chmod on the server.. but say you had a script that had to have permissions changed. and you offered a service where you would upload and setup that script. Then the tarbell method would come in handy. So if your not doing mass installs/uploads, then just chmod by hand. you cant be that lazy