This is assuming you want people to understand the flows and interconnections in such a diagram.
Have you considered the point of the speaker might instead have been "This is how things work. No kidding", o something along that line? In which case I think the slide is brilliant: it clearly emphasizes that the situation is a mess and makes it very easy for the audience to remember that fact, because if provides a very graphical and intuitive representation. I would think 99% of the people in the room see this and go "WTF?".
OTOH, if the speaker then went over the slide over the course of an hour, following arrows, then you might as well just shoot the audience in the face.
Additionally, no higher resolution is going to help you understand that pack of spaghetti. Is just poor visualization.