This centralization will eventually fail. The centralized teams aren’t built from the BUs, and most of the people there lack the capability and experience to understand how things actually get executed in a business unit — let alone run a business. Many of them have stayed in the center since they were university hires and have never worked in a BU. They have no idea how to deal with real business realities or how to actually drive a project.
In the past, they could claim that they contributed significant impacts to multiple projects and BUs to justify their PSG levels. However, their actual contributions within the BUs were largely unverified — many BU results could have been delivered even without their involvement. As a result, their impact has been largely inflated.