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In previous versions, there was a "danger level" displayed above units and castles, in addition to the number of units. This indicated how much stronger the unit was compared to the selected hero's unit. This feature appeared in versions 3.0, 3.1, and 1.6. However, this only compared the strength of monsters, and even then, not entirely accurately (it's unlikely that a group of neutral caster-druids or 4th-level mages is equal in strength to, for example, a group of neutral shamans of the same level). Also, it doesn't take into account the stats of the heroes themselves. And besides, everything worked perfectly fine before versions 3.0/1.6 without it.