Dyche has a strong connection to the club, having played for the youth team in the late 1980s under the management of Brian Clough. He currently resides in Nottingham, making him a local candidate for the role. This appointment would come after a brief stint as manager at Everton, which ended in January this year.
Forest is scheduled to face FC Porto in the Europa League later this week, and Dyche could potentially take charge of the team for this match. The club's backroom staff is expected to include Ian Woan and Steve Stone, who are likely to form part of Dyche's coaching team.
Dyche's appointment would mark a significant change in leadership at Forest, following the departure of Postecoglou. The club's decision to seek a long-term appointment suggests a commitment to stability and continuity in their management structure.