Sacked coach Simon Goodwin has lamented the lack of stability at Melbourne since their drought-breaking 2021 premiership.

After looking set to forge an AFL dynasty, the Demons have instead been beset by problems on and off the field over the last four years.

They will miss the top eight for a second-straight season, after going out of the 2022 and '23 finals in straight sets.

Goodwin and interim president Brad Green fronted a media conference at the MCG on Tuesday, hours after it emerged the Demons board had decided on Monday to sack the coach.

Brad Green and Simon Goodwin sat side by side at the press conference after the coach's sacking. (Nadir Kinani/AAP PHOTOS)

Players and club personnel packed the room, with Goodwin's wife Kris in the front row.

"Stability is a really important piece to success and it's something I value incredibly high," Goodwin said.

"Obviously, I hope we get it here."

Green said the decision came after a process of "four or five weeks" and had nothing to do with their stunning loss two weekends ago, when St Kilda had a record-breaking comeback in the last term.

"Bloody Nasiah," Goodwin sighed when the question was asked about the loss, referring to St Kilda young gun Nasiah Wanganeen-Milera.

Green praised Goodwin's coaching bona fides, saying he was "terrific", while insisting it was time for change.

"This is not about Simon's coaching career - Simon can coach," Green said.

"Simon has the energy and the fight. We just believe the club was looking for a new voice and a new leader to take this group forward."

Green said the board had yet to decide what was needed in the next coach, adding it would have been disrespectful to discuss that before the call was made on Goodwin.

The Demons president was also adamant they gave Goodwin the best chance for continued success.

Only last week, Goodwin felt he and the Melbourne board were aligned.

"Obviously I got that wrong - but clearly the club are taking a different approach and I totally respect that decision."

Goodwin has the rare and dubious distinction of being sacked after a win, last weekend against West Coast.

"I did mention that to Gawny (captain Max Gawn) this morning - I don't think any coach has been sacked after having an 83-point win," he said.

"Look, it didn't blindside me ... I was disappointed, clearly."

Goodwin was adamant this era at Melbourne was not done.

"Right now, we're in a little transition phase and I certainly believe we're a helluva lot closer than people think," Goodwin said.

"I am sure these boys will be back in the top four soon."

Goodwin will have a break, but is not done with coaching.

"I would love to coach again - right now I need a rest," he said.

"I wouldn't change anything."

Melbourne coach Simon Goodwin after a narrow loss to Collingwood.. (Joel Carrett/AAP PHOTOS)

Goodwin is Melbourne's only premiership coach in the last 60 years. Troy Chaplin is the interim replacement.

The former champion Adelaide player was let go after just seven wins this season.

Taking over from Paul Roos in a succession plan for the 2017 season, Goodwin led Melbourne to their milestone flag.

But with just three games to go this season, Melbourne made the call to part ways with the 48-year-old.

Goodwin was given the option by Green of seeing the season out but turned it down.

Former Port Adelaide and Richmond defender Chaplin will now take the reins against the Western Bulldogs on Sunday.

Troy Chaplin has been confirmed as Melbourne's caretaker coach. (Michael O'BRIEN/AAP PHOTOS)

The vacancy at Melbourne could hold appeal for premiership coaches Adam Simpson and John Longmire, who have spent this year working in the media after their respective exits from West Coast and Sydney.

Until four years ago, the legendary Norm Smith had been Melbourne's most recent premiership coach back in 1964.

Simon Goodwin holds the premiership trophy after the Demons won the 2021 grand final. (Richard Wainwright/AAP PHOTOS)

Two of the stars of the premiership season, Christian Petracca and Clayton Oliver, have suffered significant and differing off-field challenges and have failed to get back to their best form.

Long-time chief executive Gary Pert stepped away from the Demons at the end of last year, and president Kate Roffey also exited her post after bungling the situation around Petracca and Oliver.

Green, a former top Demons player, is the interim president until Steven Smith returns from an extended overseas stay.