Francesco Guidolin has stepped down as Udinese coach to take up a supervisory role with the Friuli outfit.
The experienced tactician, who is under contract with Udinese until June 2017, has endured his most difficult season since joining the club from Parma in 2010.
Guidolin recently admitted his need to take a break from coaching.
"Today is a beautiful day for me because I will not coach any more but I will be able to remain here," Guidolin said in Tuesday's press conference.
"I am happy to stay and give my contribution in order to face this new challenge.
"A new adventure begins for me and I'm curious to see how it will go.
"It's not by chance that today I have put on a jacket because there will be changes.
"This is a new chapter in my life. I don't know how I will feel in this role."
The 58-year-old guided the Friulani to Champions League qualification in back-to-back seasons in following his move from Parma in 2010.
"Guidolin will be in charge of the technical supervision of the three teams of the Pozzo family," Udinese sporting director Cristiano Giaretta said. "Good luck to him."
The Pozzo family, who purchased Udinese in 1986, also own Spanish side Granada and English outfit Watford.
Udinese finished 13th in Serie A this season.
Guidolin made his coaching debut in Serie A in 1993 with Atalanta and has managed six clubs since then, including Genoa, Monaco and Palermo.
Ex-Genoa and Chievo tactician Luigi Del Neri and former Catania coach Rolando Maran have both been linked as possible candidates to replace Guidolin.