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it can go overboard. Second-guessing, micromanaging, etc... If you have to tell me how to do my job at every step, you shouldn't have hired me in the first place (or at least you should be lobbying HR for my transfer or removal), and that looks just as bad on you.

"Managing" is a two part job. You have resources, and you have demands on those resources. Balancing those as unobtrusively as possible is what makes a good manager.