Suggestions on how we should proceed?
This is a complex question. On the operational level in the area of Afghanistan I would gradually dumped this puppet Karzai. I think it is a mistake to try to run Afghanistan and to micromanage it. Much better would be to sincerely induce Afghans to form a leadership based on the grassroot consensus involving those called "warlords" who are the natural leaders for their society. The only restriction would be excluding or marginalising Taleban. The setup of such national consensus government would not be predesigned in Washington or would not be predicable. It would have to be a result of spontaneous (although induced and guided) process.
Such new leadeeship would be moderate (consisting of diverse groops), not hostile to USA and VERY stable. The purpose of it should not be being a pliable proactive tool for West but a relatively passive obstacle in spread of extremism. Afghanistan then could be left alone and Americans would be free to focus on other urgent issues.
On the global level I would like to see clear, unambiguous condemnation of EVERY separatist, freedom fighting, terroris movement without any hidden exceptions. Be it in Macedonia, Chechnya, Kashmir, Tibet or else. The only permitted way of secession would be through a peacefull and slow methods. That way the new order could be established in which both terrorism and imperialism would be discouraged and major powers could truly cooperate.