After Brendan Rodgers' exit, the Parkhead club are currently on the hunt for a new first-team manager but they are also revamping their football operations behind the scenes.
Stevie Hammell is set to be promoted from head of football coaching to head of academy, replacing Chris McCart.
Irish outlet 42.ie is now reporting an approach has already been made to Chelsea for under-21s coach McFarlane, who is a target to take up a role. The Premier League side have been asked for permission to speak to the 39-year-old.
He started out at Manchester City before moving on to Southampton and only switched to Stamford Bridge in July.
Chelsea are said to view him as a rising star but have reluctantly agreed to allow him to talk to Celtic, with discussions yet to take place.
At first-team level, Martin O'Neill and Shaun Maloney have drafted in Mark Fotheringham to help during their interim spell.