Once upon a time, Wally was a useful, willing, and competent engineer, but the tides of useless/harmful management and company politics wore away his fresh face willingness. Unfortunately, for Wally, he has been at his job too long for it to be cost efficient to give him severance over carry on employing him.
If you want to shortcut the path from Asok though Dilbert to Wally, just read one of Scott's 'management' books; and you can avoid the Dilbert disappointment stage, and spend your days amusing yourself.
I don't know what is scarier; the fact that PHB learned to harness the power of Wally as a previous poster stated or that he wants to be VP of the company?