In many companies the managerial titles are invented incentives, not necessarily they "manage" people. They exist as part of the incentive package, and certain companies attract certain personalities who would be happy with titles. Management position gives one probably a different satisfaction, "doing better than the other guy", and assumed better pay above the managed is all that is needed. It's a kind of a distraction. It is not bad unless it kills nurturing leadership environment. The best case is that laders become chosen managers by their peers. The worst case is that those who can not manage become assigned leaders (managers) by "the management".