The "exciting challenge" of DTM team management was the key reason in Ralf Schumacher's decision to retire from driving, according to the German.
Schumacher announced on Saturday morning that he was standing down from Mercedes driving duties to take up a new management role with RSC Mucke Motorsport.
The six-time grand prix winner has been replaced in Mercedes' DTM line-up by Formula 3 Euro Series runner-up Pascal Wehrlein.
Wehrlein will partner the man that beat him to the F3 crown last year, Daniel Juncadella, at RSC Mucke, with Robert Wickens and Roberto Merhi both joining Gary Paffett and Christian Vietories at HWA.
Schumacher, who will also play a vital role in the mentoring of Mercedes' young drivers, said: "I've been thinking a great deal about my future during the last few weeks. Now I've reached the conclusion that I am better able to support the extensive changes at Mercedes-Benz with regard to the DTM in a management role than at the wheel of a car.
"I had talks with [Mercedes motorsport chief] Toto Wolff and [HWA boss] Gerhard Ungar and asked to finish my current career as a racing driver and concentrate on this new position. I am very grateful for more than two decades in professional motor racing and the last five years with Mercedes-Benz in the DTM.
"We have plenty of young, up-and-coming talent in our squad of drivers and I am happy to make way for them so that I can concentrate fully on my new responsibilities in the management team at RSC Mucke Motorsport.
"This represents an exciting challenge for me, helping the best young drivers with my know-how and expertise, and hopefully seeing them on their way to a successful career in motor racing."
Schumacher first went into partnership with Mucke on an ownership side in 2010, RSC Mucke competing in GP3 for two seasons.This is the first time that the team's DTM squad has adopted the RSC tag.