Yesterday's 1-4 loss against Watford was the drop that made the cup overflow for the club management in Manchester United.
The match was the Norwegian's last in the coaching position.
"Ole will always be a legend at Manchester United and that is why we have sadly reached this decision.
While the last few weeks have been disappointing, they should not overshadow all the work he has put in the last three years ", the club writes.
"Thank you for everything, Ole", the club writes on its Twitter.
The team will for the time being be coached by the former player Michael Carrick, while the club begins the hunt for an interim coach who will take on the coaching job until the end of the season.
The Norwegian took over the coaching role in Manchester United 2018 and was an active player at the club between 1996-2007.
He has previously coached Molde and Cardiff.
The big team includes the Swedish national team defender Victor Nilsson Lindelöf.
CLIP: See United's double boards in the derby (November 6)
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City won the Manchester derby after double boards.
Photo: Bildbyrån