I don't think Josh can do anything to prevent the site from dying a slow painful death, only delay it as much as he can. It doesn't matter if he reins in the cliques in BP, WW, CG, poltards etc. Reinvents the site or get better mods. KF has too much bad blood, too many spergs and Josh being too much of a self-centered ornery prick to make any change for the better.
True, KF's main appeal was following lolcows, Chris-Chan mainly and talking whatever shit you wanted so long as you didn't (or rather until) Josh got pissed off what you said. KF is gonna be a relic soon enough given what is currently happening there. It's why it's a good idea to not be too attached to any social platform because they will not remain relevant for long, just look at MySpace or for something closer to home, ED.