Indiana basketball legend Larry Bird spent the past three years searching for his niche in the NBA.

Friday morning, he said he'd found it.

Bird was introduced as the Indiana Pacers' president of basketball operations and the eventual successor to longtime team President Donnie Walsh.

Bird, 46, a member of the Naismith Memorial Basketball Hall of Fame who coached the Pacers to the 2000 NBA Finals, takes over the day-to-day decision-making responsibilities from Walsh, who will remain as chief executive officer of Pacers Sports & Entertainment. Contract terms were not disclosed. Walsh, an attorney, will continue to negotiate player contracts.

"I've had opportunities to do this in the past, but this is my last time to work with Donnie," Bird said at Conseco Fieldhouse. "I've got a lot of respect for Donnie, and I always have. He wanted me to come back, and here I am."

Bird's return will shake up the Pacers' front office and could have implications for the man who followed him as coach, Isiah Thomas, who is entering the final year of his contract.

Thomas, though, said he is enthused about the opportunity to work with Bird, his former on-court rival.

"I think this could be great. I was really excited when I heard about it," Thomas said. "Anytime you have a chance to put a group like this together, you have a chance to do something pretty special."