Steve McClaren has stepped down as technical director at Derby County, after the club entered administration.

McClaren will instead stay on at Derby as a part-time senior advisor.

After Derby appointed administrators last week, the club was given a 12-point deduction, which has put them at the bottom of the Championship.

“The talks between both parties were amicable and as part of those discussions the club’s joint administrators expressed their desire to retain McClaren on a part-time consultancy basis,” a statement from Derby said.

“It was agreed that McClaren will continue to act as a senior advisor as the club and joint administrators look to navigate through the administration process.”

Former England manager McClaren, 60, has a long history with Derby, first as a player during the mid-1980s. He was the team’s assistant manager the year Derby won promotion to the Premier League in 1995.

McClaren then became Derby manager for the first time in 2013, but was dismissed in 2015. He returned in 2016 for a five-month spell and was sacked in March 2017.

In his role as technical director, McClaren was in charge of all footballing operations at the club, while he also acted as a mentor towards Wayne Rooney when he was initially appointed as caretaker manager.

Meanwhile, the company behind Derby’s shirt sponsors have offered to advance the remaining payments on its contract to help the club’s administrators tackle the Rams’ short-term financial problems.

Derby’s deal with Kindred Group, which runs online casino 32Red, is due to expire at the end of the season.