Dalglish went on to have spells with Blackpool (scoring two goals against Luton Town in the league[6] and Barnsley in the FA Cup)[7] and Linfield and loan periods with Scunthorpe and Wigan Athletic.

the newly appointed Livingston manager Paul Lambert and, despite struggling near the bottom of the Scottish Premier League, Dalglish impressed, scoring in a narrow 2–1 defeat to Celtic.

Dalglish's performances attracted the attention of Hibernian manager Tony Mowbray, and despite having originally sought a contract extension with Livingston on the final day of the January 2006 transfer window, he joined the Edinburgh club for an undisclosed fee.

[9] After being sidelined with injuries, Dalglish left Hibs in August 2006 to play for Major League Soccer side Houston Dynamo.

Dalglish left the club by mutual consent on 23 September 2010, and team technical director Perry Van der Beck served as interim manager for the last two games of the season.

[14] He also served as the technical director for youth powerhouse, Lonestar Soccer Club, which has developed top young MLS prospects such as Kekuta Manneh and Khiry Shelton amongst others.

[16] The Aztex had a difficult first year in the United Soccer League when their House Park Stadium was flooded, leaving the team to find a new location to finish the season.

In November 2015, Dalglish was hired as the head coach and general manager of the NASL club Ottawa Fury FC.

After "soul-searching by Pugh and the rest of Fury FC management", Dalglish and the club came to a mutual agreement to end his contract early.