The club have rewarded boss Mark Jones after guiding the club to a respectable mid-table finish.
Along with this, the club also reached the FA Cup First Round for the second successive season.
The new management team will include former player Andy Ballard as Jones' assistant - joining from Didcot Town.
"Mark Jones has worked hard to achieve the internal targets set for the team and we are delighted to be able to progress Mark’s role into a full time position," a statement on the club's official website said.
"This will enable increased time for player recruitment, team preparation, match analysis and to develop close links with other teams within the club.
"Mark’s leadership has resulted in a number of key achievements this season including sustaining our position as a National League club, reaching the first round of the FA Cup for the second successive season, developing the brand of football, and successfully developing a high number of young players."
Oxford host Dartford on Saturday in their final National League South game of the 2018/19 season.