The 36-year-old won 67 caps during an eight-year international career that ended when he stepped down from Test rugby during the 2012 RBS 6 Nations Championship.
Australia-born Parks joined Glasgow in 2003, and then had spells with Cardiff Blues and latterly Connacht.
"I feel incredibly fortunate to have been able to play a sport which I love for over 11 years," he said. "My time over here in Scotland, Wales and Ireland has been the best years of my life, and I would like to thank all those who have contributed and helped me along this amazing journey.
"Of course, my highlight was being able to wear the blue of Scotland, and something I will forever treasure and hold very close to my heart.
"I plan to stay closely involved with the game, and I am really excited about the future and continuing to be involved in the sport I am so passionate about and that has given me so much."