The new deal will keep the Italian alongside assistant manager Steve Clarke for the next four-years with the Hammers.
“I have just signed a new contract and I’m very happy,” the 42-year-old told Sky Sports.
“At the club we have a very good project in my opinion. The coaching staff along with (chief executive) Scott Duxbury and (technical director) Gianluca Nani are trying to build up something which I’m sure has a future.
“I’m committing to it and we’re going to be working very hard to make it successful.”
