The 56-year-old has been handed the reigns of the Ligue 1 club for the 2011-12 campaign
Nancy have appointed Jean Fernandez as their new coach.
The French club made the announcement on their official website on Monday and expressed their delight at having gained the 56-year-old’s services.
"Courted by several clubs, Jean Fernandez has finally chosen Nancy,” read a statement. “This is great news for the club, who made it their priority to find a successor to Pablo Correa."
Fernandez parted company from Auxerre last week after five years in charge of the Burgundy club and replaces Correa in the Nancy hotseat. The Uruguayan left the Lorraine side after nine years.
Nancy finished 13th in Ligue 1 in the 2010-11 campaign.