Short version:
1. Fire Rumsfield, Wolfowitz, and the other PNAC ideologues who's neo-conservative ideology is as disproven as the Maoist doctrine it is based on.
2. As George Marshall is no longer alive, find and bring in his intelectual heirs. If we don't want to engage in nation building, then we shouldn't break nations. Encourage the Brass in the field to make recomendations, and make it clear that honest appraisals will no longer be punished.
3. Seperate the terrorists from the insurgents. Recognize that the insurgents may have some legitimate grievences about our grotesque mishandling of the occupation. Address those concerns, both in correcting real abuses and showing real investigation and evidence debunking false rumors. Be paitent.
4. In dialogue with the insurgents, point out that the terrorists are a common enemy. Their indiscriminate bombing of civilian areas harms everyone and is only designed to escalate hostilities.
5. Increase intel gathering and kill terrorists elements with extreme predjudice.
6. Divide the Iraqi army into two groups - a home (regional) guard which is fairly trained, and a national millitary which is highly professional. One of the bigger problems with the Iraqi Millitary is that many soldiers were under the impression that they were serving their region rather than being deployed in the hot spots (in which many fail to perform their duties). Use the local guard better secure the regions they come from (generally the safer areas, but it still frees up manpower) Use the elite corps (call it perhaps the Democratic guard
) on a national level for stabilization efforts.
7. address the causes of the insurgency. Make sure the people have jobs, income, security, and something to do. Don't let "socialism" screaming ideologues keep you from hiring locals to help in the rebuilding, cleaning up, or even just basic work to keep the people sheltered and fed. Don't let international companies jump in and crush local buisnesses with anti-competitive tactics.
I don't really have time to publish a book for the long version, and there are plenty of individuals who are far more knowedgeable than I in these matters but who's suggestions don't make for good sound bites (and thus don't tend to get disseminated by the MSM)