Rafa Benitez has called on the Anfield board to back him with more money and to move quicker in the transfer market.
The Liverpool boss has taken the unusual move to condemn his club's own actions in the transfer market as he feels The Reds are missing out on some top talent.
Benitez was speaking after seeing Arsenal's second string tear his own reserves apart on Tuesday as they cruised to a 6-3 victory.
"If Arsenal can play nine reserves and score six at Anfield, people should be asking why," said Benitez.
"It's not because of one game, it's because of many reasons.
"There is a lesson for the whole of our club. That lesson is that if you want to compete at the top level you must be able to spend a lot of money - not only on your first team but on the young players and the reserves.
"My scouting department has done an excellent job but sometimes we go too slowly as a club to make signings we need.
"We need to work quickly. And when we do, there is not a lot of money. Arsenal spent £4million on Abou Diaby, £4million on Denilson, £8million on Theo Walcott and Julio Baptista is a £22million player.
"We had seven players with first-team experience and still we could not win."
Benitez did confirm the club were in the process of tying up deals for Sampdoria's Danielle Padelli and James McCarthy of Hamilton.
"We are signing a young Italian goalkeeper on loan with an option for longer," said Benitez.
"We have also been working for many weeks to sign James McCarthy, a young Scot [from Hamilton Academicals].
"These are deals we are doing because we want to build for the future. But without spending money it is difficult.
"Arsenal have two or three players, for example, who we were monitoring but couldn't sign because we didn't have enough money."