The 40-year-old former Republic of Ireland boss was last employed as Gary McAllister's assistant at Leeds, but the pair were sacked in December last year.
He is now looking to make a return to full-time coaching and is keen to replace Mark Robins at the Don Valley Stadium after he joined Barnsley.
"I came up against Rotherham with Leeds, and we looked at one or two players from that league, I know what it's all about," he told the Sheffield Star.
"I've kept in touch with all the English divisions, but I've been looking at League One and League Two a lot more than the Premier League and Championship. There are a lot of strong squads in those leagues.
"Of course I'd be interested in the Rotherham job, they've got a strong squad of good players, and are riding high at the moment. They've got a very strong chance of going up."