Look back at your list of things you expect of a manger. It's like you expect that person to be some kind of unrealistic higher power, when really, they're just people.

Yes. But we are the ones with power in the relationship.

Yes.. I cannot know [person] is going to suck, but I can put guard rails around their behavior and, failing that, fire them. If they're poisoning morale, that's on me to address. If they're stealing, it's on me to have adequate controls so that they get caught without creating collectively punishing the rest of the staff.

I am not a god, but the comparison to friends and families is inapt due to the power dynamic and the ability to - as a last resort - terminate the relationship unilaterally. I am not on equal footing with my employees. They are not my "friends" and consequently, I have vastly more power over the relationship and, consequently, vastly more responsibility for how it goes.