Skovdahl went on to coach Brøndby towards its second Danish championship in 1987 and he also guided the club to the quarterfinals of the 1986–87 European Cup international tournament.
Following two years at Brøndby, Skovdahl moved to Portugal before the conclusion of the Danish season to coach the defending Portuguese Liga champions Benfica.
In his first year at Brøndby, he coached a 5–3–2 system, and re-schooled former attacking players Jes Høgh and Ole Bjur to more defensive position, where they blossomed.
[3] He went on to install a 4–4–2 system with hardworking players, whose constant pressure on the opponent, combined with the necessary technical and tactical skills, went on to dominate the Danish championship for half a decade.
By 1999, heavy in debt and not capable of matching the Old Firm in the transfer market, the Dons needed to appoint a successful coach who could work with a small budget.
[4] Despite overseeing one of the poorest sides in Aberdeen's recent history in his first season in charge, Skovdahl proved popular with the fans.
[4] In the following season, Aberdeen's fortunes improved domestically, but were knocked out of the 2000–01 UEFA Cup by Irish side Bohemians on the away goals rule.
[4] Young players such as Kevin McNaughton, Russell Anderson, Philip McGuire, striker Darren Mackie and goalkeeper Ryan Esson were developed.