It's called auftragstaktik or mission command. I experienced it during my conscription (not German, but we apply it in my country as well), and it worked really good. Before the end of the service I'm certain my division could have retained most of its effectiveness, should you have removed all the ncos and the division commander.

https://en.wikipedia.org/wiki/Mission-type_tactics

https://en.wikipedia.org/wiki/Mission_command