Basically it boils down to a carrier swap.
Currently the only ones I know of for the 8.8" are the ARB Air Locker (which I have), and the Eaton E-Locker. You will need the 28 spline versions. Unless there's something wrong with the gears you have, I'd re-use them.
NOTE: The Air locker will require an air supply. This can be done with a compressor, regulated to 85-105 psi IIRC, OR you can get a tank of compressed air and just remember to fill it up, or or, some other form of compressed gas, CO2 would probably be the cheapest. Whatever way you do it, just make sure you can regulate it or you'll blow the seals.
The E-locker only requires a 12v power supply. I have one im my 2500 GMC, so far it works good. I've heard some complaints about the 8.8" version, I guess it has a different operating mechanism than the others but I've never checked that out. Something about being ball actuated and having difficulties going from forward to reverse, like rocking it to get out of a snow bank.
You will not find these at a junkyard unless you are all kinds of stupid lucky. You can basically not count on it, they were never offered from the factory.
E-locker will run maybe $700-$900 or so, the ARB will run $900-$1100 + your air source (which has other handy uses mind you).
Installation should be straight forward, I actually didn't need to re-adjust anything in my GMC's install. Check the backlash before you take anything apart, and as long as you don't take the pinion out and your backlash is the same afterwards, you should be good to go. If not, you need to re-shim the carrier to get the same backlash.
Other and supplemental info:
http://www.therangerstation.com/tech_library/index-axles.shtml