The same day Oates was elected to the Hockey Hall of Fame, June 26, 2012, he returned to Washington Capitals, where he was named the 16th head coach in franchise history, succeeding Dale Hunter, who had decided not to renew his contract. Oates' former teammates praised his appointment as head coach, calling him a "detail-oriented players' coach" with excellent communication skills. While the 2012–13 NHL lockout delayed Oates' debut with the Capitals, he acted as co-coach with Mark French for Washington's AHL affiliate, the Hershey Bears.