Currently, I have 4 teams. Explore, Defense, Play time, and “Big guns” to me that’s self explanatory except “Big guns” that is where I have the 4 to 5 Star hero’s.
The more I play or the deeper I go, I’m finding it harder to maintain this set up. The more experienced I get within the ALLIANCE, I feel like I’m becoming a hindrance. So I just wanted to get some advice on my current setup of HERO teams, should I restructure and focuse on 1 “all around” team or just lower my anxiety and keep plugging away…
The number of teams don’t really matter. Just what blends together well to accomplish the objective at hand:
Titan
Raid/War Offense
Raid/War Defense
Events, where CC and survivability might take precedence.
Farming - Fast Mana gaining heroes with splashy damage and little to no healing on the team.
Someone more knowledgeable will chime in and elaborate soon I’m sure.
Sometimes your most powerful team will be best at everything for you. A list of heroes would help you obtain good info. 
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@h0nkyJ got the main categories of uses, and you should be thinking about heroes in the context of what they will bring you for each of those purposes.
Most senior players just use the team slots to lay out our most commonly used teams. But we actually have a bunch of different teams that we standardly form our heroes into for the different purposes laid out by @h0nkyJ.
For example, looking at green, I have:
- One team that is all green heroes which I use for blue titans (Tarlak, Evelyn. Buddy, Melendor, Gadeirus).
- I have sets of 3 green heroes that I like to use together for 3-2 attacks on blue tanks in war or raiding (for example: Tarlak, Evelyn and Hansel; Melendor, Buddy and Caedmon; Gadeirus, Evelyn, Hansel)
- I have a go-to green mono team for when I choose to fight mono green (Tarlak, Evelyn. Buddy, Melendor, Hansel)
In terms of improving your overall roster and competitiveness in the game, the key considerations are:
- Successfully completing Rare Quests, Events, and Seasonal Events
These all provide guaranteed nonfarmable Ascension Materials, and so being able to at least make it to the end of the hardest tiers of them should probably be your first priority from a roster perspective.
- Titans
The next best guaranteed source of nonfarmable Ascension Materials is titans. So getting a good titan team together for each color is an important focus.
The main source of big scores against titans is tile damage, so having some high-attack-stat heroes of each color is key here.
- Having enough decent heroes to be able to stitch together 6 credible attacks in war (most of us think of that as having 6 heroes of each color at a reasonable level)
AW is a team sport, and having a good selection of heroes with which to make attacks is important for being able to help your alliance as much as possible.
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I have 6 teams set:
#1 for everyting
Titan
Defence
Event 3*
Event 4*
Event 5*
But my alliance is not making wars, if you are fighting in wars, you may need some more.
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I have 5 teams. I use Team 1 to hold one hero of each color that I’m currently leveling up, so they’re at the top of the list when it’s feeding time. Team 3 holds my 8-7 farming team. Team 4 holds my Titan team. Team 5 holds my Defense team.
I use the Team 2 slot for raiding, but the heroes never stay the same. I’ve learned that I shouldn’t have ONE set raiding team that I use for all my attacks; instead, I just shuffle heroes in and out to match up better against the defense I’m attacking.
I strongly recommend doing it this way, rather than buying way more slots and trying to put together a single team in each slot that you will only attack with those. In my experience, limiting the number of team slots and customizing your attacks on the fly is a great way to really learn what each hero can do, how to properly mix them with other heroes, and doing this over and over and over again will make you good at it - and this will serve you well in wars: instead of taking specific, predesigned attack teams, you’ll instead build teams on the fly that are specifically designed to kill whatever you’re attacking. 
Good gaming!
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