Former Stockport County manager Jim Gannon has returned to Edgeley Park for a second spell in charge.
Although he will hold the title of director of football, he will be responsible for all football matters including team selection and transfers.
Gannon previously managed the Hatters between December 2005 and May 2009.
He succeeds Dietmar Hamann who resigned last Monday, citing the failure of a takeover bid as his reason for quitting the Blue Square Bet Premier club.
Gannon will be assisted by Hamann's number two Willie McStay.
Meanwhile, at least two members of the "Your Town Your Team" supporters' group have been invited to join the board of directors.
Stockport County chairman Lord Peter Snape told BBC Radio Manchester: "Jim Gannon has always been the man that many of us who are supporters of Stockport County wanted to see back at the club.
"We tried on a couple of occasions in the past to get him back and I'm glad to say on this occasion we've succeeded.
"He was always top of the list, he has been top of the list for some years.
"It's the role [director of football] that Jim himself sought and he's evidently well qualified financially to provide valuable expertise to the board, plus the fact he has some managerial experience.
"Willie McStay will be responsible, under Jim's direction, for the day-to-day training at Stockport County's training ground, but Jim will be in overall control."
Gannon spent 10 years of his playing career at Stockport and managed League of Ireland side Dundalk before taking over as County boss for the first time, initially in a caretaker role, before being confirmed as Chris Turner's replacement in January 2006.
He helped them avoid relegation from the Football League in his first season and won promotion via the League Two play-offs in 2008.
However, the following season, financial problems meant the club was placed in administration in April 2009, and Gannon was made redundant the following month.
He has subsequently managed Motherwell, Peterborough and Port Vale, leaving the latter in March after only 74 days in charge.