So that is where the informants come from?
Similar things existed in the Netherlands, norway and occupied france. Instead of going full occupation, the occupiers enlist locals of similar attitude.
They use existing structures of administration and police, only influencing the very top.
A reichskommiariat as a puppet is the same, but different. You're not getting as much out of it, but it doesn't need prior investment.
Despite the difference in % factory used, it's also a question if you're dealing with resistance or not. With compliance puppets, you only get involved if resistance ends in a civil war and open fighting.
I think the system is not really historical accurate (at least not in a strict sense) but gives meaningful, akin to historical choices.