This only works when you have the hiring process dialed in and you're selecting the right candidates to work from you.
There's a great book about companies run through bottom-up decision making called Reinventing Organizations. My take away was that bottom up can work at any scale, but it requires true believers at the top who are constantly working hard at making themselves unnecessary. Once the true believers walk out organizations naturally revert to hierarchical decision-making.
Management in 3 bullet points: 1. Have clear goals. 2. Articulate your goals clearly. 3. Go to 1.