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So I am still in the process of making my first AoS army an was looking at who to use as a general. Is it worth it to use named characters as Generals since they aren't able to use artifacts? Or are they best relegated to normal positions while you put something more generic in the slot that can actually utilize artifacts?

Can't you give the artifact to a different character anyway?

You do lose out on the Command Trait though.

This is when it’s useful to use a named character as your general: Archaon. Otherwise, always take an unnamed one. Only reason for Archaon is that he lets ALL heroes use command abilities without paying for them. That’s worth giving up a trait in my book. Especially in something like a BoK army with the heroes who can use ability for extra attacks. I don’t know if any other heroes do that, but if it’s something THAT good, take it.

Note: worthless ability combined with KoS ability or similar abilities that don’t go off during hero phase.

I kind of want to edit this: Archaon’s ability isn’t even that good, since most of the better abilities go off in the combat/charge phase. You get a few in the hero phase, but a lot of abilities have branched out and take place in other phases. So Archaon, despite now being my biggest and coolest model is simply a paperweight for the moment. As soon as that book hits though...I expect big changes!

Some named characters have extremely strong command abilities that require them to be the general (it will say "if this model is your general and uses this command ability...") while certain army-specific context can demand a special character general. Other than that it's general practice to avoid doing so.

Or you're forced to. For example, Legions of Nagash (including Grief) require that the inclusion of certain heroes means making them the general:

Nagash must be general if taken in Grand Host, Arkhan must be general if taken in Sacrament, Olynder must be general if taken in Grief, etc.