The bishop thought he was implementing the post-Concilliar documents which said the Blessed Sacrament 'should' be placed in a fitting chapel. Foolishly he interpreted 'should' as 'must', even more foolishly he did not read the the context of the suggestion, which was about promoting Eucharistic devotion. It was only after much hurt, destruction and expense that Rome clarified its ambiguous instruction, saying that the Eucharist should normally be placed in the centre of the sanctuary.
The architectural damage was disconcerting, but more so the deeper damage this bishop did to the faith of those who had one Sunday honoured and genuflected to the Blessed Sacrament and a week later found themselves doing the same to a vase of flowers or the priests chair that had replaced the now ignored Sacrament in the side chapel, after a short time even those who did so mechanically or out of habit had quickly given up genuflecting to anything.
I am sure this Bishop did what he did truly believing he was implementing 'the mind of the Church', doing it with fanatical zeal. In reality what he did was to undermine the faith of his people.
Very easily faith in the absolute reality of the Eucharist is easily pared away. I am sure for this particular bishop, his faith the Real Presence remained the same but for most of us outward signs and symbols are important to both affirm and stimulate faith. A change in outward actions, signs and symbols brings about an inward change in our attitudes.
I blame the Jesuits and the Spirit of the Council of Trent for the cerebralization of prayer and the Spiritual Life. The Pre-Tridentine life of Christians was rich in actions, signs and symbol, prayer was more than just silent contemplation, it involved bodies too, corporal penance, fasting, prostrations or genuflections, pilgrimage, processions, almsgiving, caring for the needy; these things formed the environment of prayer.
The Norbertines and Cluny soon after Trent abandoned the practice of seven deacons circling the altar with golden thuribles during High Mass, along with the practice of Corpus Christi Mass before the exposed Blessed Sacrament with Benediction of the Blessed Sacrament taking place three times during Mass. The consequence is perhaps reflected in the experience of friend who celebrate Mass for some ancient veil-less nuns who remained seated throughout in an an anodyne 'prayer room'.
The other side of the coin: I have a priest friend who is preparing a former soldier for reception into the Church, he served in both Iraq and Afghanistan, he saw and did things that deeply wounded him and bears the scars of guilt. We spoke about how to deal with his guilt. Like many ex-soldiers, I suspect he has tried drink, drugs or even psychotherapy, most priests, myself included, might give a penance of a few Rosaries but really rely on allowing him to talk, in my experience this rarely works. Pre-Trent, and possibly in Orthodoxy he would have given a penance that involved a prayer of exorcism of some sort followed by some kind of real penance, public humiliation, an arduous pilgrimage or time in monastery, vigils or fasting. Outward actions, signs and symbols bring about an inward change in our attitudes, our minds and hearts often follow our bodies.
I remember being told of the Compostella Camino after the WWII being revived by former soldiers, sometimes sometimes barefoot, sometimes carrying rucksacks filled with rocks doing penance for wartime sins.