Steps to reproduce:

• go to the public demo, authoring instance
• go to data -> types, and open the company type
• check the "Sort by name" checkbox and save. You can even export the type and restart the webapp if you want, even if it's not necessary.
• go to data -> company and open Big-Flower-Inc/Permanent-Employees
• edit "Jack Middleman" and rename it to "Zack Middleman"

I would expect that if the sort is enabled, that element would go last, but it won't move. If you add another node of the same type ("Manager" in this case), it will go immediately after or before the "Zack Middleman" node, according to the alphabetic order.
This means that nodes are sorted only within the same type but not across different types even if those types are siblings. Is this the deisdered behaviour?

As a side note, also the order of the subtypes is not controllable. I don't mean the sibling nodes, but the fact that all nodes of "Manager" type are before (or after) all the nodes of "Developer" type, and this order might even change between server restarts. I think this is due to the fact that all the types and subtypes are loaded in a map at module start, and that map is the used to get the subtype "order" in the tree implementation. So this might be linked to MGNLDATA-125.