Organizations can't scale linearly. You need more middle managers as you add more people and organizational layers, who don't contribute any "output" so this i

Organizations can't scale linearly. You need more middle managers as you add more people and organizational layers, who don't contribute any "output" so this is trivially true. Alternatively, you could have thousands of people all reporting to a single manager, and if you think that could work, I have a bridge to sell you.