I really can't understand the disconnect here. Are these executives just this out of tune with the world?
I think that's always the case. Do you own "The Simpsons" on DVD? The commentaries are very interesting to watch, and they producers often tell stories of what the network would like to do to the series. ALL of them are the most STUPID ideas you can imagine. However, fortunately for that show, they have it in their contract that, other than censorship issues, the network can't actually force an idea onto the show or retaliate if the producers ignore them altogether.
Sadly, though, it does seem to be true that network executives think they're so much better at planning and creating programming than the people who are actually trained to and being paid for that very thing.