I think the first step is people doing either motion correctly. As close to 90 degrees as they are able to get (or at 90 preferably) and rowing dynamically (accelerating the bar into them like a rower would an oar through water i.e. not just move it at a constant pace but keep pulling hard on it to get it moving as fast as possible). Post #3 here covers this pretty well: http://www.elitefitness.com/forum/showthread.php?t=366601
Once you cover those, you are 90% of the way there. As far as which is better - pretty extensive EMG work has been done and as far as lat recruitment the variation from the floor while arching the back proved supperior accross the sample. Not sure how many outliers there were but at the very least, if you get the 90 degree and acceleration in there, you have a very solid workable row.