Ruud Gullit has resigned as coach of the Los Angeles Galaxy and Alexi Lalas - the man who brought David Beckham to America - has been fired as general manager of the Major League Soccer club.

The Galaxy have failed to win any of their last seven games and have dropped out of the Western Conference play-off spots, although former Chelsea boss Gullit cited "personal reasons" in his decision to quit.

Lalas, the former USA international, appointed Gullit and oversaw the club's policy of pursuing high-profile names, playing a key role in the unveiling of England midfielder Beckham as a Galaxy player in January 2007. The policy has proved controversial in a league with a tight salary cap, as it leaves a very limited budget to spend on the rest of the squad.

Tim Leiweke, president of the AEG Group that owns the Galaxy, explained Gullit's departure and said: "Both parties have agreed on mutuallyagreeable terms to part company.

"It is an amicable arrangement and we appreciate and respect the issues that Ruud has highlighted with the club and are very grateful for all the hard work he has contributed."

But the club chose to dismiss Lalas rather than wait for his contract to expire at the end of the season.

"With Ruud moving on, we believe that this is the right time to make more sweeping changes," added Leiweke.