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Lots of startups / young companies are run by people that never had a formal business school thing - they don't have the history lessons besides other successful startups and whatnot that explains why 'traditional' management (with multiple layers etc) is the way it is.

Any project with more than one team already has a middle management structure of sorts - you've got the CEO / CTO, then the team leaders (scrum masters, or just whoever's the loudest). There's your middle management layer already.

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