Thanks to everyone's help, I am making progress with the use of this ORBAT tool and ALiVE in general. I can ALMOST make a single damn thing work at this point! Which is better than 3 hours ago.
Following the steps in the wiki, I have created a new faction. Basically I took Massi's navy seals and created a single alive compatible group for them, just as a test. I closely followed the step where if you want to inherit units from a faction, you basically need to copy it as a first step, copy the units, and work from there. I did that.
It's all packed up in a little addon pbo thingy, too. Now, when I try to load the game with the mod, it is throwing errors saying that base classes of massi's units are not defined. Really getting frustrated. Here is the link to my config . Why is it not working?