He adapted to the situation by leaning on the expertise of the crew in a way that was very different than the normal command-and-control style of leadership. It sounds like what you describe in type 1.
If more leaders like this guy who wrote this book were sent to the top levels, it would be an improvement. Instead, you notice he's writing books for a living now.
Also most top tier MBA programs are an excuse to get wildly drunk basically daily and make a bunch of powerful friends, so it's very possible most people who go don't learn a damn thing.
Sorry to rag on MBAs.
As for why life sucks so much, leadership has let there be too much to do with too few people, and inflexible systems.
This is a disease of all peacetime militaries. The Army suffers the same problem. They spend an entire career LARPing in camouflage, and think that somehow means they know anything at all about warfare or leadership.
Because they were run by such a small crew, nobody wanted to command them because the number of people under your command mattered for rank advancement.