Device management != micromanaging developer workflow.

At my midsize company, our engineers could absolutely say something like “we don’t like Terraform Cloud, we want to switch to OpenTofu and env0” and our management would be okay with it and make it happen as long as we justify the change.

We wouldn’t even really have to ask permission if the change was no cost.

-> and make it happen.

I think OPs point is they failed on this part. "Making it happen" should have been ensuring a compliant and approved version of the software was the one made available to the developers. At a large scale that is done via device management, but even at a medium sized enterprise that should have been done via a source management portal of some sort.