Hello smokey71 and russ79,
We use vDS for greater flexibility and greater security. The security features provided by vDS (port mirroring) can not be given at vSS level. Also with vDS you have options for QoS for network. So when the above comment said put service console and vmkernel (used for Management network) in vSS that was to deal with other issues or situations.
Normally when we configure vDS or vSS for that matter we put the physical NICS connected to the Host which will be connected to the switch in TRUNK mode. This will allow us to provide VLAN tagging at the portgroup level.
So there are two situations :
1. You have underlying physical NICs in TRUNK mode and then you use VLAN tagging at the portgroup level to segregate the network traffic. This has a flaw in the sense that the DMZ and internal traffic both flows through the same physical NIC (though they will be separate VLAN taggeg)
2. You create two separate vDS or vSS to connect to separate physical NICs altogether and create DMZ and internal portgroups on these two switches. So the underlaying traffic will always be separated. From security perspective this is more secure as the DMZ and internal traffic will never be mixed. But again you will need more NICs
So the main question here, whether to use vDS or vSS should not be decided on these consideration about security. As based on your design from security perspective both can be used (as the security is implemented at the base design). Whether to use vDS or not should be decided based on other considerations.
vDS has lots of advantages and if you have vSphere Ent + you should use vDS, but again my preference is also put Management Network in the basic vSS along with vMotion so that vMotion traffic would also be segregated from the rest of the traffic and use vDS for rest of them. You can use two vDS to host DMZ and internal traffic but make sure to connect them to different NICs altogether so the traffic will not mix at the physical level also (they will be separate by VLAN and the actual flow of traffic will also be separte thus completely segregating both type of traffic).
Hope this helps. For details check:
http://pubs.vmware.com/vsphere-55/topic/com.vmware.ICbase/PDF/vsphere-esxi-vcenter-server-55-networking-guide.pdf