We have available different shot types:
Full, Punch, Pitch, chip and with wedges we also have a flop shot.
So the Taylor Made Tour Burner 5 iron I use can hit
Full - 175 yrds Assuming you 'ding' the swing meter - If the wind is against the shot it won't go 175 yards. if the shot is with the wind it will go further than 175 yards.
Punch - 155 yrds The Punch delivers less yardage because the trajectory of the shot is lower. Being a lower trajectory shot it is less affected by any wind and will wind up going closer to it's usual yardage.
Pitch - 60 yrds
Chip - 41 yrds
My 64° wedge can hit a Punch shot 41 yards too, but the trajectory of that 41 yard shot the 64° delivers is very different from the 41 yard chip shot the 5 iron gives me.
We can also change the ball flight trajectory by moving the indicator on the ball up or down. Moving it up makes the ball fly lower than normal, and moving the indicator down makes the ball fly higher than normal.
Selecting a Punch shot (low trajectory), and moving the indicator high on the ball, makes the trajectory of the ball even lower.
When you play, you need to watch how far each shot flies in the air, as well as the total distance of the shot.
Selecting the Full shot option with my Taylor Made R9 8.5° driver, depending on the wind, and the position of the indicator on the ball, I can fly the ball in the air anywhere from 200 to 300 yards with a full swing and dinged meter.
In short, there are a lot of variables that have to be considered and accounted for making golf a very analytical and decision intensive game.
FWIW - Since reaching the Masters tier, not only are the tee's moved back, on most holes I have to hit into a head or cross wind. On holes I have a following wind, there is usually some obstacle that negates 'tee it high and let it fly', but though my driver is rated at 275 yards, I still have average drive distances of between 290 and 300 yards at the end of each round I play. Note that that average usually includes 1 or 2 drives using my 230 yard, 3 wood.
The point is we all can learn to compensate on any given shot in such a way as to give us the best chance of accomplishing our goals for the shot.