While this can be great for team execution, by definition it insulates managers from the nitty-gritty of design/development, which is where most of the preventative measures happen. However if you try to remedy this and bring the manager into the fold, you invite micromanaging and harm execution, as well as preventing the manager from doing more managerial things.
It's when things go wrong and heroes emerge that people get raises and promotions, if simply because the manager can point to those highly visible efforts as rationale for why this person gets more. Also in large orgs a manager might not know all their direct reports personally so those incidents make the person stick out, like how a professor knows the kids who sit at the front of the class the best.
I suppose the ideal would be a technically experienced manager who understands how to promote good design practices and lets his team do so, but on sheer educated faith with no metrics. Given that metrics are the lifeblood of large-org management careers, the incentive structure isn't there to produce such people en-masse.
Steve Jobs and Elon Musk are famous/notorius micromanagers (though they have some problems with the ,,respect'' part). At the same time as they understand the problems with the product development deeper, they are able to plan more iterations ahead.
One example is the autopilot hardware. About 10-12 years ago I was working at Google, sitting in a self driving car in Mountain View when it was a secret project. I was already at that time amazed that the car could do some offroading tricks that I wasn't capable of, and I was quite certain that within 5 years it would be self driving without safety driver.
Now it's 2020, and it seems to me that in no more than 10 years Tesla will win the autonomous race, as Elon understood that the computer needs lots of deep learning instructions (more than what NVIDIA could provide) and HD maps and lidars are not just unnecesary, but they are the wrong direction, as the visual sensing problem needs to be solved for safe self driving.
In Google there are so many product managers at this point, that they themselves are actively hindering the product development itself, as they don't want to get into the details of the real problems.
Frankly, I've been on both sides of the aisle when it comes to projects that allowed for great design and projects that resulted in doing an endless marathon for 3 weeks straight to put out a fire because of poor design; I can tell you without a doubt that doing great design doesn't take anywhere near as much of a toll on your body and mind as doing an endless marathon; I've severely damaged interpersonal relationships (that I can't undamage) through these marathons.