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"Coaching" is the answer
The answer to the line between hands-on and micromanagement might be found from coaches. A bad can tell a quarterback to hold the ball just so and keep his arm a certain distance above the shoulder and yadda, yadda, yadda (micromanagement) where a good one will assume the quarterback knows the idea is to get the ball to the receiver and if there is a problem, they'll both be aware of it and then start looking at solutions (hold the ball just so, try a different angle, etc). This hands-on manager helps the managee recognize the problem first, then assists in finding solutions. The micromanager jumps in initially in a vain and feeble attempt to prevent any problem from ever occurring. But you can't prevent all problems, and if you're not listening to the employees and letting them experiment, you may never find new solutions.