I dont think he's a particularly bad coach like. Swansea played really good football and even when in the last two seasons, things haven't been great, they've still played some decent stuff. However his downfall has been the fact he's build an absolute piss poor squad. He's wasted so so much money on players that either don't fit his system i.e Benteke or just downright rubbish. Their squad at the minute is painfully average considering the money he's spent. Right decision by Liverpool.
Look at some of this rubbish man:
http://www.lfchistory.net/Transfers/ByManager/25-1
Lovren 20M, Aspas 7M, Balotelli 16M, Markovic 19M. Even Firmino at 30M has looked poor although its early days.