The military has a little bit of this system in place - at least in the past, I don;t know what is in place now. It wasn't in the Primary training, but in what used to be intermediate strike phase, the students flew Basic Instruments (BIs) and Radio Instruments (RIs) before they started the Familiarization Stage (VFR flying).
I am a huge proponent of looking outside. I probably emphasized it more so than many other *younger* instructors. It was hard to watch a guy fly right past a target or a turn in point or something because he had his head buried inside, glued to the symbology (or radar or FLIR). Painful to watch.
USMCFLYR