I'm also all for inspiring leaders. But in the startup context, I think the job of "designer" is as dangerous as its technical equivalent "architect". As Schell points out, design is a pervasive concern, just like software architecture is. A CTO who fancies himself chief architect is likely to drive off good talent, because talented people want to solve whole problems, not mechanically execute somebody else's vision.

I think the same applies for the visible sorts of design just as much as it does for the under-the-hood design: if everybody cares (which requires feeling empowered to make things happen) you'll get a better product.