Appleton will meet with club owners Venky's in the next 24 hours to discuss transfer targets and their scouting policies, although they will not be at Tuesday's home game with Brighton.
"Our recruitment policy needs improving 10-fold. We have too many players here who are far too similar to each other," he said.
"We need to change things here and get some fresh people in."
The former Blackpool boss is keen to bring in three or four new faces in total but admits others will have to leave as he attempts to trim the squad to around 22 players.
Appleton also confirmed that West Ham have not followed up their interest in Martin Olson, with the Hammers already understood to have increased their initial bid of £2m.
He also confirmed he is keen for Tuesday's game with Brighton at Ewood Park is due to go ahead despite the recent spell of bad weather.
"The pitch is fine, the only issue might be roads around the area. Of course we all want the game to be on to avoid a fixture pile up," he added.