No, I'm saying that you CAN'T use the SD card without turning it into raw.dat. However, you CAN replace any pre-existing ISO files with mods with WiiScrubber.
Also depends on the size of the SD.RAW. there is a hard code limit of 2 gigs on dolphin you can have an 8 gig card with 1.5 gigs on it and have it work. but after 2 gigs of data is read it won't read anything else. i personally test myth with dolphin and ran into it a couple times.
Also Wii scrubber.
SCRUB IS NOT A SAVE BUTTONThat is another problem people have with iso moding in particular.
Also for editing the SD.raw try using IMDISK. you can right click the sd.raw "mount as virtual disk" then check removable media. it will open it like a real SD card and its a lot easier to edit that way without dealing with winimage. just make sure to right click "eject" when you are done with the editing. dolphin can't read the SD if its in use.