Chairman David Sheepshanks says the club are in no hurry to appoint a successor to Joe Royle. The Blues are looking at having the new man in place when pre-season training starts on June 26th.
Sheepshanks told the club site: "We have conducted extensive interviews with a number of high calibre candidates and have now narrowed our search down and expect to narrow it further over the coming week.
"Some of the candidates who have been interviewed have been told it will not be taken any further, while others have ruled themselves out of the job, but that has not thrown us off track.
"The appointment of a new manager is the single most important job that a football club chairman and the board of directors can undertake.
"It is of paramount importance to us all that we make the right selection and to that extent I am comfortable with the fact that we are taking our time."
Amongst those in the running are skipper Jim Magilton, who would be partnered by academy director Bryan Klug in a director of football role, Northampton manager Colin Calderwood, Ian Holloway and Willie Donachie.