The mop-up operation in Italy is nearing a close. My forces on the Adriatic coast have fully cleared the path to the front. Only one more port on the West coast remains to be cleared. All of my forces should be on the main front within a couple of turns. Iím contemplating railing some of these forces to participate in my operations against the West Wall, but I havenít decided yet. Assuming they stay in Italy, I have two main objectives in Italy after the mop-up. First, seize the airfields around Udine to provide bases for bombing German cities. Second, they could attempt to push through the Alps towards Bavaria and Austria, attritioning the significantly strong German forces here.
If you are playing for victory points, I don't think there is any alternative to sending as much force as possible to NW Europe in order to capture Berlin early. The point system is very heavily weighted toward this. Judging from your VP situation, the AI made a hash of the strategic bombing campaign. I've always managed the air directives myself, so I'm not familiar with how to set up the air doctrines in a way that enables the AI to handle the air war effectively.
Given your situation on the ground, a decent strategic bombing campaign could have had you in positive VP territory at this point, with a reasonable chance of achieving a decisive victory, assuming you capture Berlin by the beginning of February.