All that is doable but time consuming and there is the problem of quality.
Randomly generated lords (with random gear, random faces, random banners, random stats, no or random household troops etc.) will be meh. You can see this in PoP random KOs (and their sometimes poorly styled and bizarre gear), and bear in mind they've polishing this feature for quite some time and only generated gear, not any other things I listed.
It will be some pretty crazy mess. I didn't spend so much time working on lords for 0.8 with personal approach to every one of them to just spam the game with random weirdos.
Then lords can also be manually created, just "disabled" at the start of the game. But making a ton of new lords for all small factions would be too time-consuming.