If you can take the XML and actually turn it into a well formatted and normalized text file, you should have avoided XML in the first place.

With that said, when you need to transmit a complex data file which has multiple nodes that need to go multiple nodes deep, XML is a reasonable format. Attempting to normalize into flat files can require hundreds of flat files to support the structure.

Just stay away from the XML source type in SSIS to parse the XML file.