I didn't expect big moves from Klentak this offseason, so what they've done doesn't surprise me, lot's of one year deals whether trade (Kendrick), QO (Hellickson) or FA (Benoit). The players they dropped from the 40 man roster were long shots ever to make the majors (Pullin might have the best shot, but he's a SSS, Cordero has question marks and is no longer a youngster).
In effect, protect your most promising prospects, use veterans to patch a few spots, but set your self up for July trades and an October house cleaning. Buy a year to evaluate your AAA prospects and their potential, can Cozens hit a breaking ball? Hoskins or Joseph going forward? Crawford replaces Galvis or Hernandez. Can Quinn stay healthy.
Next offseason Klentak will have a lot more answers, and that's when I expect him to start wheeling and dealing.
As far as being competitive, they have a deep young pitching staff, a veteran bullpen, it comes down to the kids, boht on the roster and in AAA ball - if they step up they'll be competitive a year early, if not, wait until next year.
As far as whether players have peaked, I don't think there are a lot of players on this team who've reached the point in their career where "what you see is what you get", certainly not the young pitchers, or Franco. We don't know if Hernandez can put together entire seasons like the stretches he's had the last two years, if Herrera can adjust to adjustments made by pitchers after he became more disciplined, whether Rupp came back to earth or just wore down. The reasons you have coaches is to work on players' weaknesses, at some point you run against the player's instrinsic limitations, but when is that point?
For a lot of players 2017 is a key season, most of the players on the current roster are in the phase of their career where either they adjust and improve or flatline, the AAA players are faced with "forcing" a promotion by their performance. Top prospects don't need two years in AAA to prove they're ready. So while they may not be competitive this season, there will be a lot to watch at the ML and high minors to keep us interested.