Sounds like a typical case of hype driven development. When faced with a problem they threw buzzwords at it, hoping it would go away.

Had they taken the time to explore the root causes of these problems and how to best approach them, they probably wouldn‘t have taken the microservices approach to begin with.

I see this far too often. Instead of looking for solutions to problems, people look for problems to try the new hot solution they read about. Happened with ML/AI, NoSQL, Microservices, Blockchain, …