Chelsea parted company with manager Carlo Ancelotti on Sunday, dpa reported.
The Italian left the post less than two hours after his side's 1-0 defeat to Everton on the final day of a season in which they finished second and failed to win a trophy.
"Chelsea Football Club can confirm that Carlo Ancelotti parted company with the club today," a club statement said.
The statement offered thanks to Ancelotti for his role in the club's successes since he became manager July 2009, notably winning Chelsea's first-ever double.
"However, this season's performances have fallen short of expectations, and the club feels the time is right to make this change ahead of next season's preparations," the statement said.
"Carlo will always be welcome at Stamford Bridge, where he will be given the reception and respect his position in our history deserves."
It is believed Chelsea chief executive Ron Gourlay informed Ancelotti he was being relieved of his duties after completing post-match formalities at Goodison Park.
In his usual post-match press conference, Ancelotti had said he would be meeting with club bosses next week to discuss his future.
Ancelotti won the double last season, but a mid-season slump and the team's Champions League quarter-final exit to Manchester United led to widespread expectation that he would not keep his job until next season.