You are eerily spot on man. It really is a problem that starts with the ownership and trickles all the way down to the field. The disconnect in the front office translates directly to a disconnect on the field between the players. All the players love Rex only because of his leniency and the fact that he rarely holds players accountable for their actions. Why wouldn't the players love him? I believe the Pegulas got really bad advice on hiring him to the be coach in the first place.
I don't think Rex is a terrible coach but in order for him to be successful he needs to have a veteran QB who doesn't need any guidance and can pretty much solely run the offense. He also needs stellar players on defense in order for his out of date and over complicated defense to work.
With the way our QB situation was when he was hired, it was extremely confusing as to why we wouldn't hire a coach who was familiar with working with young QBs. I mean look at franchises like the Redskins, Cowboys, Raiders, Chiefs, Dolphins....etc. The Bills just seem like they're trying to build a house without a blueprint.
Tyrods stats aren't nearly as bad as people think they are.