In reality this process has absolutely nothing to do with the structure of the organisation. It's true purpose is to shuffle out people who are in positions where they're performing poorly, and move in new people. It just provides cover (It's not your fault, it's an organisational change).
This is exactly the same, they couldn't say "You've solved this problem badly, go spend 6 months doing it properly". So instead they say they need a new paradigm to organise how they build their solution. In the process of that they get to spend all the time they need fixing the bad code, but it's not because it's bad code, it's because the paradigm is wrong.
The problem is the same problem with the organisational structure- if you don't realise the real purpose, and buy into the cover you end up not addressing the issue. You end up with a shit manager managing a horizontal and then managing a verticle, then managing a horizontal. You end up with a bad monolithic-service instead of bad micro-services.