Bournemouth have announced on their official website that Parker has been handed the role of the club’s head coach.
The 40-year-old has put pen to paper on a three-year contract at the Vitality Stadium.
Parker left his managerial role at Fulham by mutual consent to take the job at Bournemouth.
The Englishman guided the Cottagers to promotion to the Premier League.
However, Fulham suffered relegation back to the Championship at the end of last season.
Bournemouth failed to win promotion back to the Premier League under Jonathan Woodgate.
Parker told Bournemouth’s official website: “I believe this is the perfect fit for both parties.
“I’m familiar with Bournemouth because of my relationship with Harry Arter. It’s a football club I know well from watching him over the years.
“The ethos, the reputation, the journey and the challenge here is something that’s very exciting for me and my staff.We want to build a team the fans can be proud of and one they feel represents them. We can’t wait to get started.”
AFC Bournemouth chief executive Neill Blake said: “It has been a long process but I am delighted to finally get our man.
“Scott has always been our number one choice for this role and someone whose coaching career we have taken a keen interest in since his first steps in Tottenham Hotspur’s academy.
“Over a period of time he has proven himself as one of the best young head coaches in the country; someone who has a clear philosophy on how he wants to play and knows what it takes to win promotion from the Championship.
“Scott is fully invested in the long-term project in front of us here, and this is the start of an exciting new period for this club.”