Ex-Baroka co-coach Dlamini takes over the reins, with the assistance of video analyst Alan Clark, in the absence of new head coach Peter Butler, who still awaits his work permit.
Dikwena have already been eliminated from the second-tier continental competition.
"We have submitted the necessary papers. Only when the coach gets his work permit, he will sit on the bench. For now Milton Dlamini will be on the bench. Alan Clark will also assist," Stars general manager Senzo Mazingiza told the club's website.
Mazingiza also confirmed the recent departure of former assistant coach Willem Jackson and players Solly Mathe, Tintswalo Tshabalala and Ndumiso Mabena, as well as the signing of defender Sibusiso Mthethwa from University of Pretoria. Stars have also lost the services of teenager Kobamelo Kodisang to Bidvest Wits.
"Jackson's contract was not renewed and with new changes we are making, the club felt that a person of Milton Dlamini’s calibre can assist us going forward. Jackson has contributed immensely. We are grateful for his involvement with the club. He has been there from the Silver Stars days. It was not an easy decision for the club but the club is taking a different direction. Alan Clark is going back to his position as video analyst for the club. He will assist both the MDC coach and the senior coach. He will also look at other programmes within our development.
"I can also confirm that the club has parted ways with long-serving members Solly Mathe and Tintswalo Tshabalala. It cannot be easy because they served the club so well. We are in the business of offloading and signing new players every season but we are very grateful for their contribution. We believe that without them we will not be who we are today. Mabena is no longer with the club. Our negotiations with him hit a snag and we felt we should allow the player to move on. We are grateful for the three seasons that he has given us."
He added: "We managed to get Mthethwa's services from the first of July. He comes with a lot of experience. He was captain of NFD team – University of Pretoria. He will add value to our club."