This is why I didn't get a follower for my first character. On my new one, I got Cicero, who is constantly surprising me with how effective he is in battle. AFAIK the only times he hits me is when he's using dual staves and I get caught in the blast.
In a Dwemer ruin last night, I was even able to sneak attack the first two bandits inside the entrance because Cicero didn't blow my cover. My second attack alerted two other bandits. Cicero put away his dagger and drew his bow, and killed them both before they even got close to me.
Then again, I've watched my friend play with Lydia as a follower and it seemed like a total disaster (funny at times though).

Maybe it just depends on the follower.
I do wish that we had more control over followers though, to choose what they equip, whether to hang back or jump into battles, and maybe some pathing commands to make them not step on pressure plates. A while back I watched a hilarious video of Lydia getting caught repeatedly in a spiked gate trap. (I thought it was funny because the same thing happened to my friend's Lydia - she just couldn't seem to figure out that the pressure plate was something to be avoided even after being smacked by the gate ten times..)
