I think the Suarez incident and how Kenny handled, or rather mishandled it, was the beginning of the end. The Red Sox are having a terrible season in the states and the owners have shown that they won't tolerate when their club is making headlines for the wrong reasons. They fired their previous manager, who by the way, had led them to two World Series titles for the first time in nearly 90 years, because he had lost the locker room and because it came out that his players were drinking beer and eating fried chicken in the clubhouse rather then getting their work in. The Suarez incident was a black eye to Liverpool and to the owners of the club and Kenny did himself no favors by seeming to come out in support of a racist incident.
Kenny's legacy is intact and no one can take away what he has done for the club. Beyond football achievements, the way he carried himself during some of the worst tragedies in football history will keep him a legend for all time. It was just time to move on.
I just hope Liverpool find someone with real ambition to restore the team to the top, not someone who can make us competitive, which is what I fear Martinez would bring.