Following Richard Hughes' departure to Saudi Arabian side Al Hilal earlier this month, the Reds have been on the hunt for a swift replacement.
Ward, who had previously held the role during the 2022/23 season and was responsible for the signings of Darwin Nunez, Alexis Mac Allister and Cody Gakpo, seemed a perfect fit.
Fenway Sports Group president Mike Gordon praised the appointment, stating Ward's expertise will enhance football operations and provide vital support for manager Andoni Iraola after a tricky start for the Basque native.
Ward 'incredibly excited'
Speaking on returning to the club and taking on such a vital role that comes with a colossal amount of pressure, Ward admitted that he cannot wait to get started.
"I am incredibly excited to take on this role, and it goes without saying that I am hugely grateful for the trust that has been placed in me by ownership," Ward said.
"Having been part of Liverpool’s football operation for more than a decade, I have a full appreciation and first-hand knowledge of the challenge that comes with the position, as well as a clear understanding of the demands and ambitions of this great club.
"This is an exciting period for Liverpool - on and off the pitch - in which change and opportunity go hand in hand, but at the same time the culture, values and principles that have underpinned the club for so long remain as strong as ever."
Ward continued: "As a football club, we will continue to create an environment that maximises performance while promoting the continued development of our players and our people.
"In Andoni, together with the wider team of staff across the AXA Training Centre, the Academy and Melwood, we have the expertise, talent and conditions required to keep driving the club forward.
"Building on these strong foundations and the work overseen by our football operations in recent seasons is both a huge responsibility and a privilege," he concluded.
Ward's main responsibilities will be to lead recruitment, negotiate with and sign players and oversee player sales, as well as manage renewals and decisions over existing players, which will be vital as Virgil van Dijk and Alisson enter the final year of their deals.