I use them from the other side- as a bike fitter, and as a rider (in road shoes). Seem to work well for lots of people, however not everyone. It can depend on if the lateral movement comes from the shape of the foot, or movement higher up the leg.
Some people (myself included) feel more benefit from a well made custom footbed (sidas are excellent as Mr Smith says) the from external wedges etc.
With leg length the advice is generally to shim half of the difference as your body will be so used to compensating for it shimming the whole 1cm will likely throw you off the other way.
Finally I also think that some people are surprised by how much difference fore/aft and lateral adjustment of cleats makes, especially if you have something like speedplay pedals with lots of adjustability.