The problem boils down to that managers are rewarded by their upper-managers for doing things that make the upper-managers happy, and are rarely rewarded for doing things that make their TEAM BETTER.
Any sufficiently large organisation becomes an ecosystem.
To succeed inside that ecosystem might damage the ecosystem itself in the wider world, but that doesn't matter in the short term to those inside it. At a certain size the ecosystem seems invulnerable and everlasting, and eclipses the wider world for those inside it.
This happens not just in corporations, but in any other social grouping I've seen, including governments, politics, and academia. It's very hard to avoid when any significant number of people are involved.
Any sufficiently large organisation becomes an ecosystem.
To succeed inside that ecosystem might damage the ecosystem itself in the wider world, but that doesn't matter in the short term to those inside it. At a certain size the ecosystem seems invulnerable and everlasting, and eclipses the wider world for those inside it.
This happens not just in corporations, but in any other social grouping I've seen, including governments, politics, and academia. It's very hard to avoid when any significant number of people are involved.