Said managerial challenges are often self-imposed though; I think a lot of people will know of companies with too many managers, who don't do a lot of work (that we're aware of) and spend a lot of effort looking important and busy (and rich).

Mind you, for my previous employer (consultancy) I felt like there was too little management and hierarchy; every department had a management team consisting of one or two managers and one or two sales, with other non-core-business tasks (admin) handled by the parent company. But said managers had to do everything; sales, account management, hiring, personnel management & reviews, conflict resolution, and oftentimes they came "from the trenches" so there was often an attempt to help out directly in projects as well. I think they should've spread out the roles a bit more.

Mind you, by default both sales + management there would ALWAYS earn more than the developers; what they could have done is hire junior managers that took some of the work without the exorbitant pay check.