Hodgson has been recognised by his peers after steering the Cottagers to the Europa League final for the first time in their history as well as taking the London club to 12th in the Barclays Premier League on a limited budget.
Fulham, who also reached the quarter-finals of the FA Cup, will have played 63 games this term after their prestigious clash with Atletico Madrid having started their European campaign last July.
Tottenham's Harry Redknapp took this season's Premier League manager of the year award after guiding Spurs to fourth place but LMA Chairman Howard Wilkinson believes Hodgson's efforts since taking over an ailing Fulham in December 2007 make him a worthy winner of the overall prize.
"Since joining Fulham, Roy has transformed the club's fortunes," said Wilkinson.
"He initially saved them from the brink of relegation then took them to their highest ever league position last season. This year he has capitalised on that platform, achieving remarkable success in this season's Europa League.
"He is highly respected by the LMA members and also on an international level where he has worked his miracles in no fewer than seven countries. He is a great role model for all aspiring managers and coaches and is fully deserving of this recognition."
Newcastle's Chris Hughton is the new Coca-Cola Championship manager of the year for his efforts in taking the club back up at the first attempt, while Norwich's Paul Lambert and Rochdale's Keith Hill have been honoured for their exploits in League One and League Two respectively.
Steve McClaren, who looks set to be named Wolfsburg boss after claiming the Dutch title with FC Twente, was handed the LMA's special merit award, while there were also gongs for Arsenal director Ken Friar, who won the service to football award, and Ron Atkinson, who was inducted to the LMA's Hall of Fame.
Source: PA
Source: PA