Correct me if I'm wrong, but I've gotten the impression that in this game you can only upgrade divisions by upgrading every division of that type. If so, that's not ideal from a historical perspective. As I'm sure you're all aware, during WWII, many of the motorized infantry divisions were light infantry divisions earlier in the war, and some of the motorized infantry divisions became mechanized infantry divisions. The transition didn't happen to all infantry divisions and the transitions didn't all happen simultaneously. If my impression is correct, that would also mean that you can't attach new battalions or regiments as parts of some divisions, but not others nor exchange battalions or regiments between two divisions. That would be problematic, because for example, not every panzer division had nor should have had heavy armour units. It's not exactly a jack-of-all-trades kind of unit and it's rather expensive, therefore it shouldn't be applied universally to every panzer division.
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