As an older guy I can't relate to this discussion and wonder why the younger generation have such hang-ups about being seen naked by other guys, or about seeing them naked.
In my day communal nudity was very commonplace and totally normal. Open showers at school change rooms and at most colleges, even most non-school gyms. I went to a well-known and respected east coast college and grad school where if you wanted to swim in the pool at the men's gym, it was naked or not at all. So some guys were well endowed, others less so, some skinny, some flabby, and a few had physiques we might have envied. But it was all so very normal, and no "towel dancing".. Friends saw one another naked, and so did roommates.They didn't flaunt their nudity, but didn't go to great lengths to hide it. I don't believe that there was much staring. But I think we accepted that while we are all different, ultimately we are all equipped in much the same way. No big deal.
I never served in the army, but know that nudity amongst one's peer group in the showers was also totally normal.
So why have today's men become so ashamed of what nature has endowed us with?