When you're part of a firm that's staffed by those with middling abilities, using concepts like Agile Development like a blunt instrument is typical.
The reason isn't a complex one. Simply, that's the best they can do.
In high performance firms, which are attracting the best and brightest talent, you have a lot less problems with this. They easily come up with taylored managerial solutions to managerial problems, perhaps inspired by ideas from various sources including Agile, rather than picking up a popular methodology they know of like a cudgel and beating everyone over the head with it.
This is why discussions around this topic aren't that fruitful. The only fruitful course of action is to strive to get employment at more competent firms with smarter managers.
I.e. work yourself up and out of it rather than bemoaning it.