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Just pull up on the 4 wheel drive lever .. You can shift on the fly to part time and full time but you gotta stop and in park or neutral you can shift into 4 wheel lo .. I have one myself .. love those jeeps .. you "understand"
I do not have a vacuum diagram for the 89 Cherokee, but my 89 had the same issue several times and all it was is that the block of vacuum lines that go into the front axle on the rear of the axle on the passenger side of the vehicle. I ended up having to put a zip tie around the axle and hose block to hold it on. Have not had the issue again since doing this. Hope that helps.