The problem with the r:navigation is you need to pass the pages you want added manually OR loop though them all via other tags like the children tags but then you need some way to order them. IE the idea here is to setup the menu to be automatically created from the listing of pages without having the add new pages into the menu manually.
Drag order is perfect idea however as Wes states there are some issues with it not working reliably. I've found you can generally move pages down in order fine but not up. IE if you want the new page, always initially listed last, to be the first page you need to drag each of the pages listed before it down below it and not simply drag the new page to the top. IMHO there should be something built into Radiant by default that allows the end user to move/copy/reorder pages. Now that we have attachments, JavaScript, css etc it's the last basic function lacking. Don't get me wrong I love Radiant and have used it for many years now, forget which was the first version I used but adding, despite the bugs, drag_order has always been an automatic must have extension to fill a gap in the basic functionality of Radiant. Bob