The Hearts legend stepped down from his position as manager of the Highland side earlier this year on compassionate leave with ex-Tynecastle team-mate Neil McCann taking his place instead.
The 56-year-old has agreed to come back but in a different role than the one he held since returning to manage the Caley Jags in 2017.
McCann is not expected to be handed the reins. It was reported on Tuesday the former Dundee boss had turned down the chance to become the next Falkirk manager in favour of accepting an offer to become an advisor to a leading football agency.
CEO Scot Gardiner, himself a former Hearts employee, said: “I am very happy to see John return from what was a particularly difficult time for him and his family. I’m doubly pleased that he is taking the new role of Sporting Director at ICTFC.
“Along with Chairman Ross Morrison and the Board of Directors, we have been working tirelessly on changing the business model of the football club in order to make us self-sustainable, while at the same time allowing us to take steps that will improve the football dept, the experience for fans, and the facilities at the stadium and at our training ground. In effect, to create a bright future for the club.
“I have personally worked with John on and off since 2014 when we were both at Hearts and I have seen at first hand his passion and ability to deliver projects both on the field and off it. His return to the club to help with a number of specific projects will be a great help to the Board and myself and his love of the club and the city will help drive us on as we come out of this onerous pandemic.
“We are glad that John is going to help everyone keep the momentum going as there is still so much hard work ahead of us. We will look to give the fans and our partners more details of our plans in the coming days and we will now take the steps required to fill the Head Coach vacancy at our fantastic club with immediate effect.”