Dlamini has been in charge of Usuthu on temporary basis since March after coach Josef Vukusic was put on special leave.
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Vukusic has since been shown the door and now Dlamini is set to take ove from him.
"The Durban based club took the decision to offer the role to Dlamini, following a successful run of results, since he stepped in as caretaker manager at the beginning of March," read a statement from AmaZulu.
"Dlamini, who coached the club's MultiChoice Diski Challenge team, took over the role from his predecessor Jozef Vukusic, after the Slovakian was placed on special leave, as Usuthu found themselves in a relegation position for much of the season.
"Since his interim appointment, Dlamini lead AmaZulu to a historic win against Kaizer Chiefs in his first game at the helm, before the global pandemic brought a halt to the Absa Premiership season.
"With it's return in August, a jam packed string of fixtures saw Usuthu collect 7 points from their remaining fixtures, having only lost one game, to secure a spot in next season's top flight campaign."
"Usuthu may find themselves exploiting their academy options for upcoming stars of the game to be added to the first team squad, with Dlamini being all to familiar with the MDC side.
"The former attacker, who spent the majority of his playing career at AmaZulu, understands what the club is about and how much it's success means to the Usuthu faithful.
"An exciting future awaits the green army, with a fresh breath of life being brought into it's ranks.
"We look forward to a prosperous journey and wish Coach Dlamini everything of the best during his time in charge," concluded the club statement.
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