That is why McCloughan said that the 49ers would not be major players early in the free-agent signing period, despite the club holding in excess of $25 million in salary cap space.

"It's not going to be a big splash like it was with Nate (Clements) or Justin (Smith)," McCloughan said. "We're not going that route this year. We're going to use free agency as a tool to make our roster better."

The 49ers want to identify their own players and hold onto them before they become eligible for free agency. That's why the 49ers expect to use some of their cap space to offer contract extensions to players in their 2010 free-agent class. Outside linebacker Parys Haralson and Manny Lawson, tight end Vernon Davis, and guard David Baas are among the starters scheduled for free agency at the end of the upcoming season.

Each of the 49ers' starting defensive backs in 2008 was acquired via free agency. McCloughan said that philosophy was the best route for the 49ers as a way of getting competitive sooner. But, he said, he realizes that the best mode to be competitive is by drafting effectively.

"If you look at teams in playoffs last few years, you see their rosters built through the draft and not free agency," he said.

One player the 49ers want to bring back for next season is quarterback Alex Smith, who is scheduled to compete with Shaun Hill for the starting job in 2009. Smith will have to agree to a significant cut in pay from his scheduled base salary of $9.625 million.

Smith was the No. 1 overall pick in the 2005 draft. He did not play last season after sustaining a small fracture in his right shoulder. He played three games at the beginning of 2007 before suffering a separated throwing shoulder. He tried to return but played three ineffective games before undergoing season-ending surgery.

"For us to ask him to restructure, that's kind of a shot," McCloughan said. "He's under contract for two more years and for us to ask him to take a pay cut, not just the player but the agent as well, it's a blow to the ego."