I dont think the peep sight style works that well so far from your eye, so the "peep" effect isn't as effective as it should be.... now as the gentlemen above stated, the Techsight system gets that peep sight near your eye, so it can do its job AND you get more sight radius to boot.
The best sight upgrade I can suggest for a working AK is a good optic of your choice, in an RS regulate of whatever pattern you choose to employ.
An Aimpoint in a 30mm RS regulate setup will nicely cowitness with the factory irons.... something to consider for the future if nothing else.