We also talked about giving item to people that will get the highest ilvl boost. But many of the group said it wasn't fair since why someone than does it best to clear lfr/flex to max his gear for normal progression should not get a 553 when it drops because one of us was too lazy to run lfr/flex and still have a 502/522?
But we're a team and a raid group so there is some execption. We know rng and many has no luck. One of our healer was running lfr and flex and still using a ToT lfr weapon so we automatically gave him the 553 staff even if some others had 528/540 ones.
We use RTU system. but if someone won something in our run he'll pass on next loot. That's how it works for us, but we are a 10man raid so it's less drama then 25 ^^