Martin Whitmarsh will lose his job as McLaren's team principal next month after a coup that has led to Ron Dennis returning as the group chief executive. But Dennis will not resume his old job as team boss, a post he held from 1982 to 2009. Ross Brawn, who succeeded Dennis as the most successful team principal of the modern era, is being tipped for a quick return to the paddock after his retirement from the Mercedes camp at the end of last season.

Brawn won two world championships with Benetton, five in a row with Ferrari and another with his own team in 2009, when Jenson Button became world champion. Whitmarsh will pay the price for five years of failure, in which he has been unable to win either the drivers' or the constructors' world championship.

His fate was sealed last year, McLaren's worst season since before their glory period in the 1980s. McLaren did not win a single podium position for the first time since 1980 – their best result was the fourth place won by Button in the last race of the season, in Brazil. They had to beat off the challenge of the much smaller Force India team to take fifth place in the constructors' table.

The McLaren Group announced on Thursday afternoon that Dennis, the chairman, would take on the additional responsibilities of group chief executive officer. He immediately addressed the workforce and received a standing ovation for his speech, in which he said: "There will be changes," and: "We will win again."

Dennis is one of a number of shareholders who have been bitterly disappointed by McLaren's decline. In quick succession they have lost their star driver, Lewis Hamilton, their title sponsor, Vodafone, and their chief designer, Paddy Lowe, who has taken over at Mercedes. They have been unable to respond to the dominance of Red Bull, who have won the drivers' and constructors' titles for the past four years. But last season they were not able to keep up with the perennially disappointing Ferrari and a resurgent Mercedes team.

Whitmarsh was an able No2 to Dennis but has not been able to measure up to the top job. Dennis held the role of chief executive officer for 20 years until 2012. The easier-going Whitmarsh was a contrast to the autocratic style of Dennis, who was known as something of a control freak in his time in charge of the team.

Under Whitmarsh, Sam Michael, previously with Williams, became McLaren's sporting director and many have tipped him to become the future team principal. But Dennis is likely to go for somebody with more experience of a winning team.

The news from McLaren comes as the Formula One teams prepare for the first testing session for the new season, in Jerez on 28 January. With major technological changes to the engines, the 2014 season was already going to pose a big challenge for McLaren.

Whoever takes charge of the team faces a difficult season, because it will be McLaren's last with Mercedes as their engine supplier – and 2015 will not be any easier as they bed in Honda once again.

So on the day that Bernie Ecclestone lost much of his power, which is unlikely to be restored to him, the other great architect of modern Formula One found himself back in the limelight.

Dennis said: "My fellow shareholders have mandated me to write an exciting new chapter in the story of McLaren, beginning by improving our on-track and off-track performance." "Over the coming weeks I intend to undertake a thorough and objective review of each of our businesses with the intention of optimising every aspect of our existing operations, whilst identifying new areas of growth that capitalise on our technologies, and where appropriate further investing in them.

"During February, I will articulate a new group strategy and implement the organisational structure best suited to achieving it.

"I am excited by the prospect of returning to the role of group chief executive officer and working with my many colleagues and fellow shareholders to fulfil our objective – which is to win at whatever we do."