Nicol believes the return of Dalglish to Liverpool as a non-executive director can only be a help to manager Brendan Rodgers.
"You have to look at Kenny when he took over as Liverpool manager, he had Bob Paisley to lean on and it depends how you use that," Nicol told BBC Radio Five Live.
"I think Kenny is a guy who, all he wants to do is help Liverpool and that means if he helps Brendan Rodgers in any way possible, whether it's scouting, whether it's a little bit of advice, I don't think Kenny will have a problem with it whatsoever.
"And if I'm Brendan Rodgers, I think I'm pretty happy that I've got a guy to lean on with the experience and the knowledge that Kenny has."
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