Your post has an authoritative tone but is too reductive and dismisses the real world often working in a completely opposite way, so I’m not sure it’s a credible argument.
What is work? Work is of two kinds: first, altering the position of matter at or near the earth's surface relatively to other such matter; second, telling other people to do so. The first one is unpleasant and ill paid; the second is pleasant and highly paid.
I can think of 2 patches: first, "matter" ("it") can be replaced by "bit"..
(What is the nature of the responsibilities that come with telling people what to do? Towards those who pay, who, if they did not inherit, must also have been highly paid? Towards the work/workers: it certainly helps to understand the work, but if it is neither unpleasant nor necessary, then perhaps "supplying the why" shouldn't be called a responsibility :)
Doesn't make sense.
With 7 - 10 reports per manager, that means the higher up boss or CEO should know how to do the jobs of 350 - 1000 different people. (7*7*7)
This is pretty far from the original example though.
Trouble comes when they don’t understand the work, but make decisions as if they do.