 Following the departure of Stephen Kenny to Shamrock Rovers in December 2011, Devine was appointed manager of Derry City on 6 January 2012, beating off Willie McStay to land the post.He agreed a two-year deal along with Paul Hegarty who was appointed as his assistant manager.In his first season in charge, the club finished 5th in the league, won the FAI Cup, and were runners-up in the Setanta Sports Cup.