I'd just offer some thoughts after having played with (and spent money on) this idea for awhile. I invested in just such a project about 18 months ago, and had John Noveske build me one of his Leonidas rifles. The thread with pics and full specs is here:
http://www.professionalsoldiers.com/...=10252&page=28
With 168 gr. Federal GMM, the muzzle velocity is about 2650 fps and the maximum PBR is roughly 325-330 yards. I use a Nightforce 1-4x optic in a Larue mount, which sits about 2.75 inches above the bore axis.
If I were to limit the engagement range to "assault" distances, I would need to hold low 2.5-3 inches with a 100 yard zero. That seems a little strange for someone used to shooting 5.56 all the time, but I'm sure training could make up for it. At 200 yards, bullet drop is 3 inches and at 300 yards it is roughly 13 inches. My ballistics software tells me that at 300 yards the muzzle velocity has dropped to approx. 2075 fps and energy to 1620 ft. lbs. I'll let you judge for yourself whether or not that is acceptable for your purposes, but IMVHO 11" is too short and will greatly impact the above ballistics, which are already a compromise.
Despite the loss of velocity and energy, I have experienced no loss in accuracy with the short barrel. However, if I were building another rifle geared towards smacking two-legged predators and thin skinned game at ranges from contact to 350 yards, I would go with a 16" upper in 6.8 SPC. My rifle and its ammo are pretty porky, and I would dislike humping them long distances. The 6.8 would avoid both problems and allow me to use a single lower with one stock, grip, sling, etc.
Also, despite people's tendency to complain about muzzle blast, I would not get a Krink-style FH again. It adds too much weight to the front of the weapon and does nothing for recoil reduction. Using a low power variable optic like the Nightforce, which is wonderful but has a 1.5 MOA center dot and a limited field of view on 4x at 300 yards, I would go with the PWS FSC in either .308 or 6.8. IMHO, it is much more important to get follow-up shots on target quickly than it is to mitigate blast in the rare instances where you might shoot this thing inside.