Turkish football icon Fatih Terim on Friday returned to Istanbul giants Galatasaray for a fourth stint, following the dismissal of Croatian coach Igor Tudor.

"And just where we left off ... He is back #FatihTerim," the club announced on its official Twitter account.

Dubbed "Emperor", 64-year-old Terim, the former Turkish national boss, has coached Galatasaray in three different stints (1996-2000, 2002-2004 and 2011-2013).

Galatasaray signed a one-and-a-half year contract with Terim for 3 million euros, the club made the announcement to the public disclosure platform (KAP).

Terim will also be entitled 500 thousand euros bonuses for each football season if he takes the league title, it added.

Galatasaray on Monday sacked Tudor, who had only joined the Istanbul giants in February, after a defeat saw the side slip from the top of the Super League.

"I am back in Galatasaray just because I believe I should shoulder responsibility," Terim told a news conference in Istanbul.

"I am here to achieve more than what we did in the past."

Galatasaray, which has won 20 Turkish league titles and the UEFA Cup in 2000, is hungry for success having seen Istanbul arch rivals Besiktas claim the title in each of the last two years.

The Croatian had been under pressure to deliver since arriving in Istanbul and last weekend's 2-1 defeat to little-heralded Yeni Malatyaspor marked the final straw.

The defeat saw Galatasaray cede top spot to fast-rising Basaksehir, also from Istanbul, with Besiktas sniffing at their heels in third.

Former coach of Italy's Fiorentina and AC Milan, Terim said there was no need for panicking but added: "We need to hurry up because we have a lot of things to do."

He said: "We have time but not much. We must roll up our sleeves as soon as possible in order to address deficiencies and to be better."

Dursun Ozbek, the club's president, said he believed Terim would carry Gala to the victory.

"Terim was the only name who is able to take the club to championship."

Galatasaray spent lavishly in the close season, digging deep for the likes of French international striker Bafetimbi Gomis, Morocco midfielder Younes Belhanda, Brazilian midfielder Fernando and Algeria midfielder Sofiane Feghouli.

Terim had parted ways with the Turkish national team in July after being involved in a fight at a kebab restaurant at a western holiday resort.

The brawl was sparked over a partition that divided a steakhouse owned by Terim's son-in-law and a kebab shop, according to Turkish media reports.

The Turkish Football Federation did not mention the incident but just announced in a brief statement in mid-July that Terim would quit over "non-football related issues".