Their management sounds like that of some small companies. Where management gets too involved in the daily operations and takes the issues personally. They can even be a little arrogant in feeling like they are personally being threatened when it is their body of work that is being judged. This is the type of thing that shortens the life of many companies. You didn't state whether they were seasoned or a young person. If they are seasoned, then they are not very intelligent. If they are younger then we can blame it on inexperience. The upper management that you speak of sounds like he/she is a coward. The only thing worse than a coward, is a coward with power.