"This has been a difficult decision for everyone involved but one that the club believes is in the best interests of a successful future for Wests Tigers," the CEO said in a statement on Wednesday.
"Clearly there will be many disappointed fans as, to his credit, Mick has developed a strong following here.
"However, we ask that you trust that we have made this decision in the interests of a stronger, unified club, following a rigorous and fair process."
Mayer said whoever is appointed coach will be given complete control over the appointment of all key football staff and his playing roster.
Potter had been under pressure to retain his position after failing to reach the finals two years in a row.
His contract with the club expired at season's end and last fronted the new-look Tigers board, comprising NRL-appointed non-executive directors Marino Go, Rosemary Sinclair and Lucio Di Bartolomeo.
Potter's assistants Todd Payten and David Kidwell have been linked to the top job at the Tigers, as has axed Brisbane coach Anthony Griffin.
The Tigers, plagued by injuries most of the season, finished the year in 13th after losing six of their last seven matches.
- AAP