The drastic decision is a consequence of a dispute with director Bob Hanning, which has caused unrest in the otherwise successful club, who has Danes Mathias Gidsel and Lasse Andersson on the payroll.
"Public discussions about the strategy do nothing good for the club. In order to reduce the pressure from the media and shift the focus to our ambitious goals for the season, I am now announcing my decision", writes Kretzschmar on Instagram.
The dispute between the two top bosses stems from the fact that Hanning has not been in a hurry to extend the contracts of Kretzschmar and successful coach Jaron Siewert, who both expire after this season.
"It is a condition where you are left to dry. It is a tense situation for everyone involved, Kretzschmar said earlier this summer", according to the Süddeutsche Zeitung.
52-year-old Kretzschmar played more than 200 international matches for Germany as an active player. Since 2020, he has been Sports Director for Füchse Berlin and thus has a large share in the club's progress in recent years.
Bob Hanning has always maintained that he will use the autumn to consider the situation in peace. The club expresses surprise on its website at Kretzschmar's impending exit.
"Füchse Berlin is surprised by the decision and notes it with great regret", it reads.
Last season was the best in the history of the German capital club. Füchse Berlin won the Bundesliga for the first time ever and reached the final of the Champions League.