Kenny Jackett is among the candidates to replace Dean Saunders as Wolverhampton Wanderers manager after the 51 year old resigned as boss of Milwall on Tuesday.

After guiding the Lions to safety in The Championship and to the FA Cup semi-final in his sixth season in charge at the New Den, Jackett has resigned citing his desire to seek a new managerial challenge.

Jacket earned promotion from League One in his third campaign in charge of Milwall, defeating Swindon Town in the 2009/10 play-off final at Wembley before leading the club to survival during three successive seasons in The Championship.

Kenny Jackett
Jackett spent six seasons at Millwall.

"After almost six seasons I personally feel the time is right for a new challenge, and also for a new manager to come into Millwall with fresh ideas, to take the club forward towards its long term goal of reaching the Premier League," said Jackett, who was the sixth longest serving manager in English football prior to his exit.

"I would like to thank the Chairman, the Board of Directors, players, members of staff and supporters of Millwall for their considerable backing.

"I have thoroughly enjoyed my time at Millwall. My family and I will always have a strong link and affinity with the club."

The announcement of Jackett's departure followed the confirmation that Wolves, relegated to the third tier of English football for the first time since 1989 on Saturday, had removed Saunders as manager after just 20 games in charge at Molineux.

The Welshman lost half of his matches in charge of Wolves, who were playing Premier League football last season, the latest coming as the weekend's 2-0 defeat to Brighton and Hove Albion condemned the Midlands side to a second successive relegation.

"Wolves have now begun a recruitment process, which, in conjunction with the Board, will be managed by Head of Football Development & Recruitment Kevin Thelwell," read a club statement.

"The Club will now take as long as is necessary to make this crucial appointment and there will be no publicly communicated timescales."

The resignation of Jackett could be a signficant moment in Wolves' search for a fifth different manager in 15 months, with the ex-Swansea City boss and Darren Ferguson, who was relegated with Peterborough United after a last-gasp 3-2 loss at Crystal Palace on Saturday, the joint favourites with the bookmakers to takeover.

Former Bolton Wanderers manager Owen Coyle, Milton Keynes Dons boss Karl Robinson and former Wolves player and current Middlesbrough assistant Mark Venus are also in contention.

Those linked with the vacant position at Millwall include AFC Bournmouth boss Eddie Howe, who led the Cherries to their first ever promotion to English football's second tier and Michael Appleton, who managed Portsmouth, Blackpool and Blackburn Rovers this season.