I don't think their problems are impossible to solve, it's just a matter of getting a few key decisions right as the biggest constraint for most clubs - money - will never be an issue for them.
It's never going to happen in a million years because their board is filled with imbeciles, but I imagine if they appoint Rafa Benitez right now and give him full control over the playing structure and all footballing matters, he'll have them in the top 4 within 2 seasons. Moreover, I wouldn't put it past him to get them challenging for the title in 4 years.
Fortunately, there's no joined up thinking at that club as the solutions are staring them in the face. There are plenty of competent managers around, Ed Woodwoodward, like Purslow, just loves playing at Football Manager too much.