The phrase 'bird's-eye view' is a colloquialism and a perfectly good use of english. However, by placing literally before it the meaning has changed. It would indeed mean he was seeing through a bird's eye. 'Literally' should never have been used in this instance.
How about from a car review, "we were literally flying down the highway". Unless he was drving chitty chitty bang bang this is incorrect.
I could provide you with at least 5 instances of this misuse every day. It is so widely used and almost every instance is either a tautology or incorrect.
There is a TV chef from Britain who says it at least 50 times per show. "I am literlally throwing this basil in the pot" and then he does, followed by "then you literally chop the carrots" and then he does. As you can see it really does piss me off.
Jason