The Dragons have confirmed that Lyn Jones will be their new director of rugby.
The 49-year-old left his position as head coach of London Welsh last week, saying he wanted to return to Wales to be closer to his family.
He has previously coached the Ospreys, and worked as a consultant with the Dragons in 2009.
Darren Edwards will stay at Rodney Parade as head coach, with Robert Beale moving from rugby director to team manager.
Dragons chairman Martyn Hazell said: "Last season was a difficult one for us at the region, but having brought our finances under control, we are looking to build our team for the future."
"With some key signings made during the off-season, we are confident that Lyn has the experience and expertise to support our coaching team and ensure that we get the very best out of our group of young, talented players."
Second row Lloyd Peers has signed a two year deal with the Ospreys.
The 21-year-old made his regional debut away to Exeter in last season's cup. He's captained both the Ospreys and Wales at age-grade level as well as the Ravens in the Principality Premiership.
Injuries in the pack in recent weeks have seen Peers becoming a regular feature in the match day squad for the Ospreys and he has featured in each of the last eight games for the region, including his first taste of Heineken Cup action in the back-to-back games against Toulouse.
He has also been named in the starting XV to play against Newport Gwent Dragons at Rodney Parade today.
Peers said:"I'm really excited about signing this contract. The Ospreys are my home region and I've come through the age grade system here so this is the next big step for me.
" In my position, where there are quality international players ahead of me, I'm definitely learning from the best, people who have been there and done it for the Ospreys and for Wales. It's a great place for me to learn my trade in the second row. "
In the concluding Welsh festive derby the Ospreys are heading down the M4 to Newport to face the Dragons. The Swansea side will be looking to build on their Boxing Day win over the Scarlets. The Dragon will be looking to bounce back from their 12-10 defeat at the Blues 3 days ago.
Dragons back row Dan Lydiate will be leaving the region at the end of the season to take up a contract with an undisclosed European team. Danny has played for the senior side at Rodney Parade since 2006, overcoming a serious neck injury in 2007 which threatened his career.