Gotta love all the bystanders yelling "shoot him!!" then dropping everything and running when shots are actually fired, it makes me kinda sad when that many people actually want to see someone get shot.
On the part of the officers I think that they should have done a better job of trying to contain the guy as opposed to just letting him waltz down times square, however doing that would be easier said than done due to the fact that this guy is clearly unstable.
There should have been less cops trailing him and more concerned with keeping the crowd contained to the sidewalk at the very least to keep them out of traffic and potential fire, but this is another case of easier said than done due to people being hell-bent on seeing some crazy dude get shot.
Lastly from what I saw they could have held off on shooting the guy until some less-lethal options arrived, can't say much on that since the vid didn't really show too much right before shots fired. It seemed to me like he was content with just taking a lovely stroll down times square.
All in all I give them 6 out of 10 donuts for good effort and actually taking the guy down.