Good question.
The way I see it is like this: First, I need to correctly assess myself--to take an accurate accounting of my defects AND of my qualities. It's helpful to do this with another person because we are too subjective to see ourselves clearly--even when we try hard to be objective. This accounting should best be done with another friend from recovery, and it definitely should not be done with one's wife (or parents). It also should not be done with one's chavrusa or good friend or even rabbi who is entirely clueless as to the nature of addicts and addictive personalities (a therapist who is not qualified to deal with addictions would also be a poor choice).
[That is actually step 4 and 5 (and doesn't work too well if not preceeded by steps 1-3).]
Once we have a clear picture of ourselves, it is healthy to accept where we are AND TAKE THE NECESSARY STEPS to move forward, to improve, to heal. We do not have an excuse to give up; rather, we have the tools to improve.
[That is actually steps 6-9]
If we expend all (or a lot) of our energy on blaming ourselves for our shortcomings and eating ourselves up over it, we will hinder our ability to truly improve ourselves. Furthermore, such self-pity usually pushes us backwards, compelling us to increase our unhealthy and harmful (and, if you insist--"sinful") behaviors.
So, as long as we face the facts and are committed to deal with them in a mature and realistic way, what do we gain from self-pity? We only lose by it.
Does this clarify anything?
--Elyah