Gen Valery Gerasimov replaces Gen Nikolai Makarov as the new armed forces chief of general staff.
Gen Gerasimov commanded Russian forces during the conflict in Chechnya.
Russian authorities are investigating the sale of defence ministry assets at prices below market value.
On Tuesday Mr Putin dismissed defence minister Anatoly Serdyukov, replacing him with a former emergencies minister and loyal ally, Sergei Shoigu.
Source: BBC
