Hansi Flick insists he has heard nothing from David Alaba about a transfer to Real Madrid amid reports the defender has agreed to join the LaLiga champions.
Alaba will be out of contract at Bayern at the end of the season and Spanish sports newspaper Marca claimed on Monday that agreement on a four-year deal at the Santiago Bernabeu had been reached.
However, Alaba's father and advisor denied that is the case while Madrid boss Zinedine Zidane refused to discuss the issue in his media conference on Tuesday.
Despite the reports, Flick appears to still be hopeful Alaba could remain with Bayern, though he accepts matters appear to be trending in a different direction.
Bayern head coach Flick told a news conference ahead of Wednesday's clash with Augsburg: "Those are things that are always possible when there is a transfer window and contracts are expiring.
"At the moment I have to admit that I have not heard anything from him regarding this topic. Hope dies last.
"However, I know that things are moving towards a direction which means change for the team.
"David Alaba showed a good performance against Freiburg and it is important for him to stay focused. That is how I experience him, as does the whole team.
"We have to continue. We know things like this are possible in football and that there are always changes at the end of a season.
"Change also has the potential to develop the team. We'll have to wait and see what happens. There's nothing more we can do at the moment."
Flick indicated that if Alaba does depart at the end of the season, Bayern will move quickly to find a replacement for the Austria international.
"Obviously, David Alaba is a player who is not only valuable for the team on the pitch, but also in the locker room and elsewhere," Flick added.
"But these kind of things [transfers] happen. Where the road takes him, we don't know. We have to wait and see what happens. I'm not having any thoughts around that at the moment.
"It is clear though that if a player of his calibre leaves the club, the club has to react and get another player. The future will tell what happens.
"Currently, this is not a topic for me because we will have this squad until the end of the season, so the focus is on this team and all the players we have available.
"What happens after that is a new chapter for the club and the team, and one has to make the best of it then."