Iv'e just finished reading Re-Work, the 37Signals book that encapsulates their philosophy. Its written by DHH so it doesn't exactly pull its punches.
One of the chapters is about the work environment, it specifically talks about not treating staff like they are kids. Elsewhere in the book there are references to having people who work instead of delegators.
I think that the two ideas mesh together nicely. By giving people the ability to make decisions for themselves. You make yourself less important then if they are constantly having to come to you to ask for permission. At that point you might have to explain exactly what you do all day, or not. Maybe you just get to be able to work normal hours again instead of spending all day answering emails and then doing you day job outside of hours when you are tired.
Tim Ferris talks about the same ideas in the Four Hour Work Week except that employees he has outsourced most of his business to other companies. He told them to speak to each other and if they could resolve any problem for less than $400 to get on with it. At the end of the month he reviews any decisions made and sets new guidelines to inform decisions.
The essence of this treat people like children and they will act that way.