I think the Peter Principle addresses a good point, but misses a critical one: the hierarchy itself. Obviously, a manager requires different skills than an engineer, so why should a good engineer be a good manager? This holds the other way round: a good manager is not particularly likely to be a good engineer.
Both is fine, these are just different jobs. However, the problem is that the manager is 'above' the engineer in the generally accepted hierarchy. Consequently, engineers are pressured to become managers for the development. As long as this hierarchy exists, the problem will exist.
Both is fine, these are just different jobs. However, the problem is that the manager is 'above' the engineer in the generally accepted hierarchy. Consequently, engineers are pressured to become managers for the development. As long as this hierarchy exists, the problem will exist.