The Blues were interested in Freund but the Austrian turned down an approach from the Premier League giants.
As such, the west Londoners are turning their attention to other potential candidates, and the first of the Blues' reported targets for the job is Sevilla director Monchi.
The Spaniard has been at the Ramon Sanchez-Pizjuan Stadium for five years, having returned to the club from AS Roma back in 2019.
During his time as Sevilla director, he has overseen signings such as Jules Kounde, Diego Carlos, and Youssef En-Nesyri.
Borussia Dortmund director Michael Zorc is another candidate that Chelsea are considering.
The German has been an ever-present at Signal Iduna Park, having taken on the sporting director's role after retiring at the age of 36.
He will leave Dortmund after the 2022-23 season to be replaced by Head of First Team football Sebastian Kehl.
His availability may be enticing to the Blues, who will know they will not have to pay a release clause to sign the director as he steps down from his role next season.
Lastly, Chelsea are looking at Leeds United's Victor Orta, who has revitalized the west Yorkshire outfit back into a Premier League contesting side.
He joined Leeds back in 2017 and has lured the likes of Raphinha, Kalvin Phillips and Marc Roca to Elland Road.
Orta can be admired for the way in which he has dealt with the departure of talent by signing inexpensive replacements.
He dealt with the departures of Phillips and Raphinha by signing RB Salzburg's Brendan Aaronson for £29.5 million and Tyler Adams from RB Leipzig for £15.3 million.
Chelsea manager Graham Potter needs a good recruitment base
Potter succeeded former Chelsea manager Thomas Tuchel as the Blues boss in early September and has been handed a long-term contract.
His project is going to rely on getting the right players in.
Potter worked extremely well with the recruitment at former side Brighton & Hove Albion, building an impressive Seagulls side during his tenure.
Brighton's signings during his spell at the Amex Stadium include Yves Bissouma, Leandro Trossard, Marc Cucurella and Moises Caicedo.
The English coach now has a comfortable budget to work with at Stamford Bridge but will still want a recruitment team that brings him the right profile of player.
Chelsea spent big this past summer bringing in the likes of Cucurella, Wesley Fofana, Raheem Sterling and Kalidou Koulibaly.
The January transfer window will be a good indication of how Potter views the current squad at his disposal.