I wish he'd play SS, as he's a true difference-maker at that position. However, the Reds' biggest hole, by far, is CF. And some of Hamilton's tools (good arm strength, phenomenal speed, high baseball IQ) play very well as a CF. Scouts insist he's a Gold Glove waiting to happen in the OF, but, IMO, this means his bat will have to be around 50 OPS points higher than were he a SS. He can do it, but it decreases his value.
They'll need a LF to produce similarly to Ludwick-- that may very well be Frazier, but I'd prefer a true bopper. Nick Swisher might be a decent option, and, as a SH, he's at least be versatile. He'd also give the lineup something it sorely needs-- obp. Jocketty could also grab a 3B or converted SS to man the hot corner and play Frazier in LF. Or he could re-sign Rolen and semi-platoon he and prospect Henry Rodriguez, hoping for good defense at the least. He could also re-sign Ludwick. Or, best of all, sign one of three Big Bats-- Josh Hamilton, David Wright, or Kevin Youkilis.