Yes that is how FAANG works, but they’re the oddity. Most large organizations don’t hire that way. Google invented this method of hiring, and others copied. It is debatable whether it has been good or not for them.
Usually what happens in a large org is (1) a department gets allocated a head count, and it eventually trickles down to team allocations; (2) a team needs a role that they can’t backfill from the rest of the company; (3) the team lead puts out an ad, receives resumes (directly or through HR), schedules interviews, and makes the hiring decision themselves. Exactly the same as a small company or startup in the last step.
Usually what happens in a large org is (1) a department gets allocated a head count, and it eventually trickles down to team allocations; (2) a team needs a role that they can’t backfill from the rest of the company; (3) the team lead puts out an ad, receives resumes (directly or through HR), schedules interviews, and makes the hiring decision themselves. Exactly the same as a small company or startup in the last step.