Ashworth was hired by United from Newcastle United last season, though spent several months on gardening leave before taking up his post on July 1.
United had coughed up around £3m to bring Ashworth to Old Trafford, but the parties have now split by "mutual consent".
United announced this morning: "Dan Ashworth will be leaving his role as Sporting Director of Manchester United by mutual agreement.
"We would like to thank Dan for his work and support during a transitional period for the club and wish him well for the future."
The decision was said to have been made last night after a meeting with chief exec Omar Berrada in the aftermath of United's home defeat to Nottingham Forest.
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