Yes, this is the preferred approach since Windows 2008 Server Core. Please note that Powershell is only installed by default in Windows 2008 R2 Server Core.
You can then use Powershell remoting capabilites, or log into the server with SSH, like on UNIX systems.
That's largely because that's not really how Microsoft envisions you using PowerShell. The Windows way is to run the tool locally, edit the resource remotely (kind of like Emacs' TRAMP mode v. Vim users always sshing into the box). In this way, I kind of view PowerShell's direct remoting (i.e., Enter-PSSession) as a complete misfeature.
You can then use Powershell remoting capabilites, or log into the server with SSH, like on UNIX systems.