Or cut in half and merged. That’s mostly how director/ vp positions disappear. Two groups merge to one, and any redundancy gets eliminated.
Makes sense when managers are hired from within and retain the ability to do the job of the people they were managing. And 10000000% makes sense from a peter principle point of view: https://en.wikipedia.org/wiki/Peter_principle
Definitely does not work when managers are parachuted in from elsewhere or in a fungible "a manager is a manager and can manage any team". That happens in government a lot.