If my recollection of statistics is correct:
Standard deviation is a way to normalize the data. That is, a particular measure may have a very flat or very sharp peak/curve. You then can then fit the data to a "normal" distribution (bell curve).
You can use standard deviations to calculate the percentage of the data that falls withing the deviation from the average.
"And 68 + (100-68)/2 = 84.13 ... and aren't you then in the top 16 percentile (approximately)???? "
One standard deviation contains (approximately

) 68% of the population. (The 39% just above average and the 39% just below average.) You are correct that if you are one standard deviation above average that you are in the upper 16%. You are above the 68% within the standard deviation and the lowest 16%.