Stuart McCall has been named Rangers manager until the end of the season.
The club announced the departure of caretaker manager Kenny McDowall on Tuesday, paving the way for him to bring in an assistant.
The former Motherwell manager left Fir Park in November after four years with the Steelmen.
Meanwhile, the Rangers board have confirmed Sandy Easdale has agreed to resign his directorship with the club.
The 50-year-old McCall, currently Scotland assistant manager to Gordon Strachan, spent seven years as a player at Ibrox between 1991 and 1998.
McCall took charge at Bradford City for three years before moving to Lanarkshire in 2010.
He led Motherwell to two consecutive second-place finishes, but after a run of just two wins in 12 Scottish Premiership fixtures this season he decided to step down.
Ally McCoist signalled his intention to step down as Rangers manager in December and since then has been on gardening leave.
His assistant McDowall has also handed in his 12-month notice since taking temporary charge, with the club lying third in the Scottish Championship, 22 points behind leaders Hearts, with just one win in seven games.
On Friday new director Paul Murray said the club would address the issue of a new manager.
"We're laying the foundation for a long-term project here and appointing a first-team manager is a crucial decision," said Murray.
"We're going to take some time and get it right."
Dave King, Murray and John Gilligan succeeded in being voted on to the Rangers board at Friday's extraordinary general meeting at Ibrox.
Shareholders at the meeting called by King, who owns 14.5% of shares in Rangers International Football Club plc, voted Derek Llambias and finance director Barry Leach off the board.
King's consortium received about 85% of the votes cast.
King addressed fans after being voted on to the board and said the EGM was a "turning point in the future of the club".
And later, he said: "We want Rangers to get back to being in its rightful place in Scottish football."
He has stated Rangers need more than £20m invested in the near future to get the club into a competitive position, with the play-offs appearing to be their best chance of promotion to the Scottish Premiership.
In a statement on the official Rangers website the board confirmed they had resolved matters with Easdale, who had been suspended pending an investigation.
It said: "The Rangers Football Club Limited confirms that matters have been resolved with Sandy Easdale on an amicable basis.
"Mr Easdale has agreed to resign from his directorships with the group with immediate effect and he does so wishing the club, its supporters and the new board every success for the future.
"The club thanks Mr Easdale for his co-operation in this changeover and confirms the investigation previously referred to will not now proceed. The club is also happy to confirm that Mr Easdale did not receive any remuneration in respect of the directorships he held with the club."