I will tell you the same thing that I tell EVERYONE. REMOVE the hornblowers. Musicians in WotR are worse than uselss, they are a points sink. For the price of two, you can almost get another company of Dwarf Archers. If they added an inch to charge distance as well, they would be more beneificial, but they're not.
Secondly, the archers have no need for a captain. A shieldbearer is still kind of a waste of points on them, but more useful: allows you to heroic shoot if you're desperate, increases their fight and makes them twice as likely to hold when they lose combat. Having said that, they're archers, so combat upgrades are daft here.
Thirdly, upgrade the archers to be rangers with bows: they have less Defence, but they have a longer range (18" is too short to be of use to anyone, let alone people that have to pay 15 points to keep up with everyone else!) and the devastation of thrwoing axes for whent he enemy is that close (they can charge after throwing them too if desperate!).
Thos are probably the biggest changes. So, removing that captaina nd the hornblowers gives you an extra 80 points, meaning you have 90pts. Upgrade the archers to rangers, meaning that you have 75 points to spend. Larger formations are nice, but I agree with removing the rangers to make it so, although it's not necessary.
With dwarfs, you will win in combat, not trying to outshoot the enemy (besides, you already have 3 companies with either shortbows or bows & throwing weapons). The rangers have a pathetic defence compared to your army and they don't have that great of an advantage (I.E. Only range) over your own rangers (who have a higher defence and throwing weapons. May also have a higher courage). 165 points left to spend: another box will allow you to take more dwarf rangers (sculpt cloaks on) and shield warriors, meaning 80 points. Still got 85 points to spend. Another ballista may help, leaving 25 points to spend as you will
Just ideas really, but my key points are: hornblowers are wasting your points, combat upgrades on archers isn't useful points allocation and dwarf rangers are immensely superior to archers.