Walter Mazzarri will leave his position as Watford manager after Sunday’s final game of the Premier League season at home to Manchester City.
The 55-year-old Italian was in charge of the Hornets, who are 16th in the Premier League, for less than a year.
Watford chairman, Scott Duxbury, said Mazzarri’s departure was confirmed after the board discussed “future goals and aspirations” with him.
“After the board discussed with Walter Mazzarri the club’s future goals and aspirations, it was decided he will be stepping down from his position as the club’s head coach after the final game of the 2016-17 season.
‘We thank Walter and his staff for the contribution they have made to Watford Football Club over the past year,” said Duxbury.
Despite Monday’s 4-3 defeat at champions Chelsea, Watford avoided relegation and are six points above the drop zone with a game to play.
There are reports that a number of Watford players would have looked to leave the club in the summer if Mazzarri remained in charge.
Morale among the squad is understood to be at rock-bottom, with a significant rift between the players and manager.
Squad members have been irked by the manager’s lack of English – he has taken to barking instructions at them in Italian during matches, leaving them bewildered.
Mazzarri began life at Watford in decent fashion; beating Manchester United 3-1 in one of his first five Premier League games, but the club have won just five times since the start of December in the league.
Watford’s next manager will be their ninth in five years.