Now that I have a really good base of knowledge about OOTP, I really should take some time to go back and read a lot of the manual. There are a lot of finer points that I don't have a complete grasp on. A big one is the Player Editor. I'm always terrified of going in there since there is no Undo button.

I didn't know, however, exactly what was going on with all of that player (batter) data on the right side of the Editor screen. I should know it inside and out by now and I don't.
Trav876, yes...you can absolutely ruin prospects by making poor decisions. I know because I've done it a few times and it sucks. Now that I think about it, it would be easier to destroy a prospect than to make sure you get every ounce of potential out of him. Of course, we don't intentionally try to blow up a prospect...sometimes the baseball Gods don't do us any favors.
I think a good suggestion to get a better handle on this would be to play a historical setup starting just before your favorite period in baseball. If you want a totally alternate reality when compared to real life, enable the OOTP Development Engine - make sure player rating yearly recall is disabled. This way you know the Development Engine is in total control. Then go play some seasons, enough to have a few drafts so you can see pre-draft player ratings and then keep an eye on their development.
I can't even explain how much enjoyment I get out of playing OOTP this way. Now it's time to go venture into the scary Player Editor and have a look around.

I go into it a lot, but only to give players nicknames and get the heck out before I totally mess everything up.
Thanks, everybody, for dropping some knowledge into my brain. I need to bookmark this - Charlie Hough's last few posts were extremely enlightening to me.