To a point. When managing teams of humans, we've found that any one person is only capable of managing at most 7 others before they begin to become less effective. At some point, you have to increase the layers in a bureaucracy, and then you begin to introduce more and more inefficiency. There is likely a sweet spot, where there is more efficiency than managing one person at a time, but increasing the number of people beyond that would lead to too many layers of people.