“Security” as a practice within a company comprises of technology, process, and culture. Should one of these pillars be subverted by leadership in anyway, the organization security stance becomes crippled.
In my experience, this security kneecapping happens because some bonehead exec looks at ways to cut costs or doesn’t like having to pull their phone out to login, and decided on a layoff or loosening of policy because, “we haven’t had any problems so far, so why do we have these staff members or this highly obstructive 2FA in place?” I mean, people used to die with greater frequency in car accidents prior to seat belts, too, maybe we can eliminate those next?