Hayden, who played for Brisbane heat, in Big Bash League opted out of the T20 league after talks with the team, which had signed him as marquee player for last year's inaugural edition of Big Bash League.
The 40 year old, quit Test cricket three years ago, while he continued to play for Chennai Super Kings in India's domestic T20 league, Indian Premier League.
Having played the third edition of IPL, he took a break from cricket and returned to play the inaugural edition of Australia's Big Bash League in 2011.
"I will be pursuing my initial intention and agreement with the Heat of moving from the pitch to the boardroom, where I hope to continue to make a meaningful contribution to the Big Bash League and the Brisbane Heat," Hayden said in a statement.
"I also plan to be very active in promoting and supporting the Brisbane Heat both on and off the field, and to contribute to the long-term success of the franchise."
Hayden, has represented Australia in 103 Tests and 161 ODIs and has scored 8625 and 6133 runs respectively.
Hayden, also added that cricket has been a significant part of his life and he cherishes those moments.
"Whilst closing the final chapter was difficult it feels great to be more actively involved in supporting and nurturing our next generation, especially now with my children," he said.