I may be entirely biased because Smithing is one of my biggest, "Oh hey, that's really cool" factors in BL, but I really don't think that it should be removed.
However, I can see how it should be tweaked in a little way, and I can somewhat agree to that. Personally, I don't want the level of customization to be changed right now for smithing, as it is really nice to be able to create your own weapons and use them in a battle. There are some major quality of life ideas that I could think of, like being able to pay a blacksmith for your own weapon which would take time, or paying them to be able to learn a specific part so that you would be able to make it for yourself.
Beyond just smithing, I think another neat factor would be the idea of gifts. Having Nobles gift you items from time to time if you've become friendly, and you getting relationship bonuses from using that weapon in combat with them, and losing it if you sell that item. It would add a lot as you fight with a named weapon gifted to you by a close friend in the game, and would add a lot onto immersion, and you being able to gift that friend back a custom made weapon as well.