Peterhead have axed manager John Sheran and his coaching team, with chairman Rodger Morrison citing a poor start to the season.
The side relegated to Division Three have exited the Ramsdens Cup and Scottish Communities League Cup in the first round.
And they sit second bottom of the table with five defeats in six games.
"It is regrettable, but we feel a change now is required to maintain our promotion ambitions," said Morrison.
"We are all very disappointed for John.
"Although he has worked extremely hard, he has been unable to find a winning formula."
Former Montrose and Cove Rangers manager Sheran had only been in the job for six months after replacing the sacked Neale Cooper.
He could not prevent relegation but had rebuilt the side having been handed a summer budget large enough to entice Rory McAllister to the Blue Toon despite Scottish Premier League interest in the former Brechin City striker.
However, Peterhead are already 12 points adrift of leaders Annan Athletic.
Peterhead, who host Queen's Park on Saturday, say they will be accepting applications for the role next week.