Kenny Dalglish has returned to Liverpool to take up a senior role at the club's academy.
The Anfield legend, who won eight League titles in 14 years with the Reds as a player and manager, will also act as a club ambassador.
"We are delighted he has agreed to join us," recently appointed Liverpool managing director Christian Purslow told the club's website.
"I am sure he will be very successful in his new role back at the club."
Dalglish's arrival back at Anfield has been mooted for some time and comes during a summer in which manager Rafael Benitez has conducted sweeping changes behind the scenes.
After leaving Liverpool in February 1991, Dalglish had spells as manager of Blackburn Rovers and Newcastle United before a stint as director of football at Celtic, who he left in 2000.
"In our very first meeting, Rafa and I agreed that we wanted to try to bring Kenny back to the club to help Rafa really drive forward our Academy which is at the heart of our plans for the future," said Purslow.