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Selecting the correct compression riveter dies based on the maximum height dimension is indeed essential for ensuring proper rivet installation. The maximum height dimension is critical because it dictates how much space is available for the riveter dies to operate effectively. Properly sized dies help in achieving the correct squeeze and compression force needed for the rivet to effectively deform and secure the materials being joined.

Using dies that are not based on the maximum height could lead to improper riveting, resulting in insufficient compression or damage to the components. For this reason, the alignment of the dies with the maximum height ensures that the riveting process is executed within the designed tolerances, promoting structural integrity and safety in aerospace assembly.

While other options may suggest different criteria or limitations, focusing on the maximum height dimension ensures a standardized approach that considers the overall assembly requirements, thus reinforcing why this statement is validated as true.