The appointment comes a week after his predecessor Chris Badlan joined Blackpool as Sporting Director.
Austin (pictured), 52, played almost 300 times for the likes of Tottenham Hotspur and Crystal Palace, before moving into coaching and the administrative side of the game.
He has held the titles of Director of Football, Sporting Director and Head of Recruitment, as well as managerial roles, at a host of league and non-league clubs in England.
He joins Coventry City from sixth-tier side St Albans City, his hometown club, where he had been Director of Football for the past 18 months.
Mark Robins, Coventry City Manager, said: “Dean brings a wealth of experience across football to the club in what will be an important role for us both in the short term, looking to the January transfer window, and longer term as we look to continue the development of our football club and team, as we have done over the last few years.
“The recruitment of players and having the right processes in place to do so is very important, and we look forward to working closely with Dean in this area.”
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