However it still installs them at the end of the task sequence
This is not correct. Assuming you injected them correctly, as I pointed out in your other thread (https://social.technet.microsoft.com/Forums/en-US/770fe8ab-7c00-4b2e-81b6-8118dfb67dd1/how-to-determine-which-updates-to-add-to-wim?forum=configmanagersecurity#5a5e57ab-ff5a-4008-8034-24680d99d141),
it installs them during Windows setup (which occurs during the Setup Windows and ConfigMgr task as Justin pointes out).
Using schedule updates does the exact same thing (as I also pointed out in that thread) except that it automates the process and directly leverages the updates you have in the Software Updates feature in ConfigMgr.
Thus, why have both? Because DISM is the core process and tool designed by the Windows team and offline servicing is for those that want to use ConfigMgr. Once again though, offline servicing uses DISM to do the exact same thing in an automated fashion though
without having to manually download the updates.
You could ask the same question for anything that ConfigMgr does; e.g., "Why have software distribution when you double-click on an MSI?" Same reason, automation and