Are managers intimidated by self driven subordinates? there is often a dilemma when one possesses such brilliant characteristics, self directed?

I understood your questions .........Smart Managers employee extra smart employees and they know the art to manage them and get the work done from them.

The only dilemma with them is to keep their subordinates engaged on task in hand, if they are left alone without any assignment , sub-ordinates start dominating them.......... 

I'm afraid I don't follow your second question, but to your first - can managers be intimidated by subordinates - the answer is yes, they can.

This may or may not be a problem, depending on the circumstances.