Great write-up by Erik Bernhardsson, CTO of Better, here: https://erikbern.com/2020/01/13/how-to-hire-smarter-than-the....
The naive conclusion would be that height has nothing to do with basketball ability. The real answer is that markets are efficient and are already correcting one important feature against other predictors. Steph Curry wouldn't even be in the NBA if had the shooting ability of Gheorghe Mureșan.
Hiring is always a crapshoot. Pro sports teams spend a lot more time and money on talent evaluation than tech companies and still get it hilariously wrong all the time.
Some teams draft for current skill, others draft for absolutely maximum possible potential, others draft for some combination of both. Some teams are willing to risk a "bust" if there is the potential of ultra-elite league-best skill. And considering that no player who has reached the MVP level has fallen further than 15th, I'd say as a whole the NBA teams are doing very well.