It is hindsight. A retool could have very well worked out. It certainly has in Atlanta. Many other teams have rebuilt/retooled without getting rid of everyone. KOC did it once by bringing in free agents around AK, with a fortuitous draft pick of Deron. He hoped to do the same by replacing Boozer with Big Al. Then, with the surprise rebellion of Deron and departure of Sloan, by restocking with the pieces obtained in the Williams trade, along with signing some key vets (Mo, Foye, etc.). TBH, the team led by Millsap/Jefferson/Hayward SHOULD have been better. I think - had we stuck with it another season - and replacing Mo with a better PG, going after an upgrade over Foye, the team WOULD have been in the playoffs.
There are some who would have opted for the Philadelphia Experiment after Deron was traded. Just blow the whole thing up, trade away everyone for assets and rebuild from scratch. That's a valid argument. I don't think Utah fans were ready for that, and neither was management. But I do have to give KOC credit. He did a test retool by only committing to short-term deals. When DL decided to tear it down, he didn't have to deal with a ton of long-term, dead money on the books. Just look at teams like the Lakers, Knicks, Nets, etc. They've had to wait to clear bad contracts. And that's what always frustrates me when people bring up the Millsap/Jefferson "let them go for nothing" argument. Best case, the Jazz get protected 1st's and expirings (good value) or mid-level vets (which Utah didn't want). And that's exactly what Utah ended up with by using the cap space. They had amazing flexibility: they could have re-signed their vets, gone after two max-level FA's or used their available cap space to facilitate deals and pick up future assets.