The Clarets are 18th inside the English pinnacle-flight 4 points adrift of safety after simply four league wins all season.
"Results this season were disappointing and, whilst this changed into an incredibly difficult choice, with eight important video games of the campaign final, we experience a exchange is needed to give the squad the exceptional viable danger of keeping its Premier League repute," chairman Alan Pace said in a membership assertion.
Pace said he desired to "vicinity on document our sincere way to Sean and his staff for their achievements on the club over the past decade".
The 50-12 months-old Dyche, who signed a brand new contract due to run until 2025 in September, have been the longest-serving supervisor of any membership inside the Premier League, having taken charge in October 2012.
He twice led the Clarets to promotion from the Championship and taken European soccer to Turf Moor in 2018 notwithstanding a confined budget, but his side were within the bottom three really all season and closing week's 2-zero defeat at fellow strugglers Norwich became a first-rate setback of their survival bid.
Pace, whose ALK Capital institution took over at Turf Moor in December 2020, said club captain Ben Mee could be part of the education workforce for Sunday's journey to West Ham.
"The system of replacing Sean has begun and further announcements will be made to supporters in due course," he said.
Burnley have 24 points after 30 video games, four in the back of Frank Lampard's Everton, who are in seventeenth place.
