
T = tanks D = dps H = healer E = Enemy
Above is the traditional 2/2/2 setup in the kiting meta type formation. Everyone knows this formation. In this formation there is a backline and there is a frontline. The dps classes are being guarded by the tanks and the healers are left to fend for themselves. Ideally the tanks and dps classes should form a assist train and be a clump killing targets. Usually this is how players are introduced to the game through solo queing or classic 2/2/2 setups.
The healers use distance and kiting to protect themselves and call back the head of the group (tanks/dps) to come back and assist if there are problems. Healing classes that excel at this style of play are archmages and shamans as they have assisting kiting tools. This doesn't mean other healers don't do well in this formation. A problem with this formation is the distance created by the head falling back too help your healers. If a healer or backline Rdps class is being focused and requires a guard a tank needs to fall back and swap guard or you have to pull your entire frontline back to assist your healers to deal with the problem. There will be a time lapse depending on the distance from the tank to the needed guard swap. That time lapse is potentially death to your entire group. Good communication from backline to frontline is key. Almost all group comps work in this type of formation.

Ok so above is a different formation. I call this formation a close formation. The closer players can get together the better. All of the members are clumped within 20ft of each other and move together as a team. Why? This makes guard swapping very very easy and you don't need to chase back to your healers if they are in trouble. If there is a large ranged threat your tanks can hold the line over your group and all members benefit from holding the line this is not the case in the kiting meta.
In this formation you are knowingly putting your healers/dps in harms way without a guard but with the intention of guard swapping. You are really leaning and trusting your tanks in this set up. Rotating challenge shout on high dps targets is crucial. This means that the healers/dps classes need to be tough enough to survive a few hits to signal a tank to guard swap. Usually in this formation the tanks are in charge of 2 different targets to guard. This is done to not overlap your guards on the same target. This brings in two different concepts. Dedicated guards and floated guards. Dedicated guards are on targets that are too squishy to survive without a guard and will instantly pop if they are focused. You almost never want to remove a guard from your dedicated guard. But there are situations where it is needed. Floated guards are on group members that are tough enough to take a few hits and signal that they need a guard swap. A bad group composition for this set up would be 2 tanks 2 Sorc's 2 Shaman's. You have 4 classes in that group comp that are squishy. That would not work for this type of formation and would be better off in a kiting formation.
There is no frontline or backline in the close formation setup. There are many classes that benefit from this type of setup. This formation takes some time to get used too because movement is more controlled. Someone has to drive the group. Also the habits learned in the kiting meta formation has to be unlearned. Healers that benefit from this style of play are RP/Zealots/WP/Dok's. Those healers can be built tough enough to benefit from this style of play. If your running classes that need to hard cast this is a good formation.
So you can also freely flow these two formations in and out of each other depending on your group composition. Some group composition types require one formation type to excel. Certain group compositions can't flow between these two formation types.
Which formation type is better? They are both equally good. Both have strengths and weaknesses. Both require a lot of communitcation to excel.