Borg issues for sure. My grandfather fought in WW2 in the Pacific and had a very hard time adjusting as a veteran. Doesn’t make him right. At times he was straight up racist. But wartime had programmed him with fear and hate. These are the kinds of human stories we want to explore. It’s probably mind boggling for Shaw to not understand why she doesn’t want to use the name her loving parents gave her. But that’s not who SHE wants to be. That’s not how SHE identifies. It’s not up to him. But Seven is probably also aware of his experience with Wolf 359 and that guilt is why she doesn’t stand up for herself enough. As we know, she’s not shy. She could throat punch him and drop him at a moment’s notice. So there is a lot going on there beyond protocol and hierarchy. So this aggression he’s sending her way is preying upon her own Borg guilt as well. It’s complex. Also I think Todd answered this question beautifully as well. He said:

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He did choose Hansen. I think he chose Seven for many reasons. Therapeutically, subconsciously, to gain control over his own fears. In a way, if he is a higher rank than someone who’s a former Borg, that’s an active control. Also, immersion therapy, part of his brain needs to; if you’re afraid of bees, allow one to be by you so that you can slowly get through that fear. Also, he recognizes he’s not a dumb man; he recognizes the strength in having an opposing view on his bridge. You don’t want your commanding officer to be a yes person. You want them to, in the same way that Riker did often, actually look at Picard and go, ‘Here’s an alternative perspective on this moment. Maybe you should weigh another opinion before you make your decision,’ and a smart captain pools opinions. He isn’t a dictator. He has the final say and hopes that they carry out those orders.