Finally found a reason to use the XML node. However, it will work if I used hardcoded value. But when I use a variable, it will fail.
Example: String flowname. I used the enclosed by curly brackets {flowname} and <!flowname> and will fail.
In the General tab, Action = Parse XML String, nothing else is checked.
In the error log, these failed since it was taken literally
<field id="FlowName" name="FlowName"><![CDATA[<!flowname>]]></field>
<field id="FlowName" name="FlowName"><![CDATA[{flowname}]]></field>
The hardcoded name works where flowname = "HRInsert"
<field id="FlowName" name="FlowName"><![CDATA[HRInsert]]></field>