In my experience of the intersection where Social Justice and Literary Criticism meet: Deconstruction is easy, Reconstruction is much harder.
Its often very easy to look at something and see its problematic influences or attitudes, and from there accept that obviously, morality means we do away with those elements. But often it can be hard to create and establish a new normal, the argument over whether fantasy races need to be different from humans beyond aesthetic is an example. The 'other' qualities being criticized are load bearing, especially in early DND, where they represent clear divisions between civilization and wilderness, and between 'ok to fight' and 'not ok to fight' in a way that doesn't threaten to slam the brakes on the game every time the players are faced with a situation, this is likely also the source of ADND's draconian alignment, if you know the fighter is evil (as with the paladin's steed) having explicit teams everyone plays for becomes a means of extending that simplicity. There is something to be said for how making physically diverse fantasy peoples statistically (and fictionally) the same in ability undermines the fantasy of their physical diversity.
The real answer is creative, we have to meaningfully generate fiction that recreates the kind of relationships we want in ways that are unproblematic. If we created orcs to be ok to kill, but hung that 'ok-ness' on colonialist tropes, then we need to find ways to create entities ok to kill that don't hang on colonialist tropes.
For an example of this, my Pathfinder setting features Mortals, Spirits, and the Profanity. Mortals are people who have souls that carry every alignment and can therefore hew in every direction, then there are spirits, who are created by psychopomps from the energy, memories, and ideals produced by mortal souls and harvested when they die, in the process of preparing them to be reincarnated into the world, while the profanity is an all consuming chaos that takes the shape of aberrations and such-- for some of my personal touchstone for the profanity, see Noragami as an example-- its basically a product, or at least attracted to the chaos of conflict (internal or external.) Its also based loosely on the notion of 'the unclean' in Shinto, which demands rituals and such to purify oneself, has taboos about touching the dead, and stuff like that, it transcends conventional alignment-- which in this setting now represent one's inner light and inner darkness (making 'evil' PCs very usable as anti-heroes.)
This layering changes things, but is designed to give me the elements of what I need while excising the problematic elements. Mortals are fully 'human' with a variety of cultures, but none of them are 'just' ok to kill or explicitly evil (although some center themselves on channeling that inner darkness I discussed, but I personally see a lot of myself in what I mean by 'darkness' so its not evil) so if you're contending with them, there's always a reason-- they've taken up banditry, they're part of an enemy army in an unfortunate but understandable political conflict, they claim the ruins you're delving in their territory (which, I'll talk about adventurers in a second.)
Spirits are manifestations of mortal soul energy, a fiend is literally your darkest emotions, a celestial is literally altruism, they can be pretty ok to fight too from the perspective that their relative lack of inner conflict can put them on a collision course with the more nuanced PCs from which you can't dissuade them-- a spirit of rage is literally rage and very little else, a spirit of righteous fury might ultimately be serving a good cause, but isn't exactly made of people's tolerance, or their capacity to care about collateral damage. Finally, the profanity is especially ok to kill, because its a force with an explicit intention to destroy everything and is alien in a way beyond the idea of 'intelligent life.' Its cosmic horror creatures, but without the link to a human other that links it into Lovecraft's racism, just nihilistic destruction.
Adventurers are 'Children of the Wind' people who, for whatever reason, are uprooted from their normal societies and don't fit in, people who either always were, or eventually became queer relative to their fellows. The name is a euphemism used by the Gods (there are many, they're spirits appointed to office, and many are minor deities of villages and such) because they blow into town with the wind and leave just as quickly. They come from anywhere, and usually develop a stronger kinship with one another than the people of their homeland, they transcend national borders-- they represent post-nationalist values, even as they work with or against nations in their adventures.
Then I took the stat blocks for a few ancestries (Goblinoids, mainly) and I reimagined them around their mechanics, Orcs became the Onika who are mortals whom worship the more spiritual Pathfinder Oni, who taught them how to resist imperial rule, defiance and pride. Goblins similarly came out of those who fled imperial rule to the forests and developed guerilla warfare tactics, becoming the Naarari (which is both a term for the people, and for their warrior tradition, which are basically Ninja)-- the civilization they both fled was also goblinoid, with the vahar (Half Orc Stats) as the progenitor and common person, and Hobgoblins as the upper aristocratic class. Racial differences in the setting are entirely the domain of powerful groups of gods reshaping their voluntary followers to one purpose or another.
