Awwww, Derby is a cutie no matter what!
So you completely shaved his ears.........no big deal. His hair will grow back in no time and being shaven WILL help them to stand by keeping them from being weighed down. I'm not quite sure on the shaving one side or both, but once his ears are up and the hair grows back, just the top 1/3 of the ears are kept shaved and the outside is done on the tips in a "V" shape.
I also had no clue about the slits on a dogs ears; I think the mixed cocker spaniel had them also cuz I remember checking his when I first saw them on my yorkies. I'm not sure what the purpose of that is, but I DO know that it is NOT a guideline on how far down to shave the ears though.