QUESTION 1 Lagos Meridian Bank Plc (LMB) is one of Nigeria's foremost financial institutions, with over 5,000 employees spread across 200 branches nationwide. Since its founding in 1985, LMB has operated a highly centralised, hierarchical structure in which virtually all major decisions are made at the Head Office in Victoria Island, Lagos. Branch managers are required to seek approval from regional directors before granting loans above ₦500,000, and staff promotions must be ratified by the Group Managing Director. Following a strategic review commissioned by the Board, the consulting firm engaged noted that LMB's rigid structure is causing slow customer response times, high staff turnover at branch level, and an inability to compete effectively with newer, more agile fintech competitors. The Board is now considering a transition to a decentralised, divisional structure organised along three product lines: Retail Banking, Corporate Banking, and Digital Banking. As the newly appointed Chief Operating Officer, you have been asked to prepare a briefing note for the Board. Required: (a) Explain FIVE factors that should have influenced LMB's original choice of a centralised, hierarchical organisational structure when it was founded in 1985. (10 marks) (b) Describe THREE advantages and TWO disadvantages that LMB is likely to experience if it transitions to a decentralised, divisional structure. (10 marks) (c) Recommend TWO key steps LMB's management should take to manage the cultural change that will accompany the structural transition. (5 marks) (Total: 25 marks)