diff --git a/RELEASE_NOTES.md b/RELEASE_NOTES.md
index 56c7e98..b89a475 100644
--- a/RELEASE_NOTES.md
+++ b/RELEASE_NOTES.md
@@ -10,7 +10,7 @@
 
 ## New Features
 
-<!-- Here goes the main new features and examples or instructions on how to use them -->
+* We now provide the `DispatchManagingActor` class, a class to manage actors based on incoming dispatches.
 
 ## Bug Fixes
 
diff --git a/pyproject.toml b/pyproject.toml
index 4db9107..eeb56dd 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -41,7 +41,7 @@ dependencies = [
   # plugins.mkdocstrings.handlers.python.import)
   "frequenz-sdk == 1.0.0-rc900",
 #  "frequenz-channels >= 1.1.0, < 2.0.0",
-  "frequenz-channels @ git+https://github.com/frequenz-floss/frequenz-channels-python.git@refs/pull/323/head",
+  "frequenz-channels @ git+https://github.com/frequenz-floss/frequenz-channels-python.git@v1.x.x",
 #  "frequenz-client-dispatch >= 0.6.0, < 0.7.0",
   "frequenz-client-dispatch @ git+https://github.com/frequenz-floss/frequenz-client-dispatch-python.git@refs/pull/87/head",
 ]
diff --git a/src/frequenz/dispatch/__init__.py b/src/frequenz/dispatch/__init__.py
index 16df1b5..037665c 100644
--- a/src/frequenz/dispatch/__init__.py
+++ b/src/frequenz/dispatch/__init__.py
@@ -7,6 +7,8 @@
 
 * [Dispatcher][frequenz.dispatch.Dispatcher]: The entry point for the API.
 * [Dispatch][frequenz.dispatch.Dispatch]: A dispatch type with lots of useful extra functionality.
+* [DispatchManagingActor][frequenz.dispatch.DispatchManagingActor]: An actor to
+    manage other actors based on incoming dispatches.
 * [Created][frequenz.dispatch.Created],
   [Updated][frequenz.dispatch.Updated],
   [Deleted][frequenz.dispatch.Deleted]: Dispatch event types.
@@ -16,6 +18,7 @@
 from ._dispatch import Dispatch, RunningState
 from ._dispatcher import Dispatcher, ReceiverFetcher
 from ._event import Created, Deleted, DispatchEvent, Updated
+from ._managing_actor import DispatchManagingActor, DispatchUpdate
 
 __all__ = [
     "Created",
@@ -26,4 +29,6 @@
     "Updated",
     "Dispatch",
     "RunningState",
+    "DispatchManagingActor",
+    "DispatchUpdate",
 ]
diff --git a/src/frequenz/dispatch/_managing_actor.py b/src/frequenz/dispatch/_managing_actor.py
new file mode 100644
index 0000000..aadd3bb
--- /dev/null
+++ b/src/frequenz/dispatch/_managing_actor.py
@@ -0,0 +1,178 @@
+# License: All rights reserved
+# Copyright © 2024 Frequenz Energy-as-a-Service GmbH
+
+"""Helper class to manage actors based on dispatches."""
+
+import logging
+from dataclasses import dataclass
+from typing import Any
+
+from frequenz.channels import Receiver, Sender
+from frequenz.client.dispatch.types import ComponentSelector
+from frequenz.sdk.actor import Actor
+
+from ._dispatch import Dispatch, RunningState
+
+_logger = logging.getLogger(__name__)
+
+
+@dataclass(frozen=True, kw_only=True)
+class DispatchUpdate:
+    """Event emitted when the dispatch changes."""
+
+    components: ComponentSelector
+    """Components to be used."""
+
+    dry_run: bool
+    """Whether this is a dry run."""
+
+    options: dict[str, Any]
+    """Additional options."""
+
+
+class DispatchManagingActor(Actor):
+    """Helper class to manage actors based on dispatches.
+
+    Example usage:
+
+    ```python
+    import os
+    import asyncio
+    from frequenz.dispatch import Dispatcher, DispatchManagingActor, DispatchUpdate
+    from frequenz.client.dispatch.types import ComponentSelector
+    from frequenz.client.common.microgrid.components import ComponentCategory
+
+    from frequenz.channels import Receiver, Broadcast
+
+    class MyActor(Actor):
+        def __init__(self, updates_channel: Receiver[DispatchUpdate]):
+            super().__init__()
+            self._updates_channel = updates_channel
+            self._dry_run: bool
+            self._options : dict[str, Any]
+
+        async def _run(self) -> None:
+            while True:
+                update = await self._updates_channel.receive()
+                print("Received update:", update)
+
+                self.set_components(update.components)
+                self._dry_run = update.dry_run
+                self._options = update.options
+
+        def set_components(self, components: ComponentSelector) -> None:
+            match components:
+                case [int(), *_] as component_ids:
+                    print("Dispatch: Setting components to %s", components)
+                case [ComponentCategory.BATTERY, *_]:
+                    print("Dispatch: Using all battery components")
+                case unsupported:
+                    print(
+                        "Dispatch: Requested an unsupported selector %r, "
+                        "but only component IDs or category BATTERY are supported.",
+                        unsupported,
+                    )
+
+    async def run():
+        url = os.getenv("DISPATCH_API_URL", "grpc://fz-0004.frequenz.io:50051")
+        key  = os.getenv("DISPATCH_API_KEY", "some-key")
+
+        microgrid_id = 1
+
+        dispatcher = Dispatcher(
+            microgrid_id=microgrid_id,
+            server_url=url,
+            key=key
+        )
+
+        # Create update channel to receive dispatch update events pre-start and mid-run
+        dispatch_updates_channel = Broadcast[DispatchUpdate](name="dispatch_updates_channel")
+
+        # Start actor and supporting actor, give each a config channel receiver
+        my_actor = MyActor(dispatch_updates_channel.new_receiver())
+
+        status_receiver = dispatcher.running_status_change.new_receiver()
+
+        dispatch_runner = DispatchManagingActor(
+            actor=my_actor,
+            dispatch_type="EXAMPLE",
+            running_status_receiver=status_receiver,
+            updates_sender=dispatch_updates_channel.new_sender(),
+        )
+
+        await asyncio.gather(dispatcher.start(), dispatch_runner.start())
+    ```
+    """
+
+    def __init__(
+        self,
+        actor: Actor,
+        dispatch_type: str,
+        running_status_receiver: Receiver[Dispatch],
+        updates_sender: Sender[DispatchUpdate] | None = None,
+    ) -> None:
+        """Initialize the dispatch handler.
+
+        Args:
+            actor: The actor to manage.
+            dispatch_type: The type of dispatches to handle.
+            running_status_receiver: The receiver for dispatch running status changes.
+            updates_sender: The sender for dispatch events
+        """
+        super().__init__()
+        self._dispatch_rx = running_status_receiver
+        self._actor = actor
+        self._dispatch_type = dispatch_type
+        self._updates_sender = updates_sender
+
+    def _start_actor(self) -> None:
+        """Start the actor."""
+        if self._actor.is_running:
+            _logger.warning("Actor %s is already running", self._actor.name)
+        else:
+            self._actor.start()
+
+    async def _stop_actor(self, msg: str) -> None:
+        """Stop the actor.
+
+        Args:
+            msg: The message to be passed to the actor being stopped.
+        """
+        if self._actor.is_running:
+            await self._actor.stop(msg)
+        else:
+            _logger.warning("Actor %s is not running", self._actor.name)
+
+    async def _run(self) -> None:
+        """Wait for dispatches and handle them."""
+        async for dispatch in self._dispatch_rx:
+            await self._handle_dispatch(dispatch=dispatch)
+
+    async def _handle_dispatch(self, dispatch: Dispatch) -> None:
+        """Handle a dispatch.
+
+        Args:
+            dispatch: The dispatch to handle.
+        """
+        running = dispatch.running(self._dispatch_type)
+        match running:
+            case RunningState.STOPPED:
+                _logger.info("Stopped by dispatch %s", dispatch.id)
+                await self._stop_actor("Dispatch stopped")
+            case RunningState.RUNNING:
+                if self._updates_sender is not None:
+                    _logger.info("Updated by dispatch %s", dispatch.id)
+                    await self._updates_sender.send(
+                        DispatchUpdate(
+                            components=dispatch.selector,
+                            dry_run=dispatch.dry_run,
+                            options=dispatch.payload,
+                        )
+                    )
+
+                _logger.info("Started by dispatch %s", dispatch.id)
+                self._start_actor()
+            case RunningState.DIFFERENT_TYPE:
+                _logger.debug(
+                    "Unknown dispatch! Ignoring dispatch of type %s", dispatch.type
+                )
diff --git a/tests/test_mananging_actor.py b/tests/test_mananging_actor.py
new file mode 100644
index 0000000..3702a29
--- /dev/null
+++ b/tests/test_mananging_actor.py
@@ -0,0 +1,164 @@
+# LICENSE: ALL RIGHTS RESERVED
+# Copyright © 2024 Frequenz Energy-as-a-Service GmbH
+
+"""Test the dispatch runner."""
+
+import asyncio
+from dataclasses import dataclass, replace
+from datetime import datetime, timedelta, timezone
+from typing import AsyncIterator, Iterator
+
+import async_solipsism
+import pytest
+import time_machine
+from frequenz.channels import Broadcast, Receiver, Sender
+from frequenz.client.dispatch.test.generator import DispatchGenerator
+from frequenz.client.dispatch.types import Frequency
+from frequenz.sdk.actor import Actor
+from pytest import fixture
+
+from frequenz.dispatch import Dispatch, DispatchManagingActor, DispatchUpdate
+
+
+# This method replaces the event loop for all tests in the file.
+@pytest.fixture
+def event_loop_policy() -> async_solipsism.EventLoopPolicy:
+    """Return an event loop policy that uses the async solipsism event loop."""
+    return async_solipsism.EventLoopPolicy()
+
+
+@fixture
+def fake_time() -> Iterator[time_machine.Coordinates]:
+    """Replace real time with a time machine that doesn't automatically tick."""
+    # destination can be a datetime or a timestamp (int), so are moving to the
+    # epoch (in UTC!)
+    with time_machine.travel(destination=0, tick=False) as traveller:
+        yield traveller
+
+
+def _now() -> datetime:
+    """Return the current time in UTC."""
+    return datetime.now(tz=timezone.utc)
+
+
+class MockActor(Actor):
+    """Mock actor for testing."""
+
+    async def _run(self) -> None:
+        while True:
+            await asyncio.sleep(1)
+
+
+@dataclass
+class TestEnv:
+    """Test environment."""
+
+    actor: Actor
+    runner_actor: DispatchManagingActor
+    running_status_sender: Sender[Dispatch]
+    configuration_receiver: Receiver[DispatchUpdate]
+    generator: DispatchGenerator = DispatchGenerator()
+
+
+@fixture
+async def test_env() -> AsyncIterator[TestEnv]:
+    """Create a test environment."""
+    channel = Broadcast[Dispatch](name="dispatch ready test channel")
+    config_channel = Broadcast[DispatchUpdate](name="dispatch config test channel")
+
+    actor = MockActor()
+
+    runner_actor = DispatchManagingActor(
+        actor=actor,
+        dispatch_type="UNIT_TEST",
+        running_status_receiver=channel.new_receiver(),
+        updates_sender=config_channel.new_sender(),
+    )
+
+    runner_actor.start()
+
+    yield TestEnv(
+        actor=actor,
+        runner_actor=runner_actor,
+        running_status_sender=channel.new_sender(),
+        configuration_receiver=config_channel.new_receiver(),
+    )
+
+    await runner_actor.stop()
+
+
+async def test_simple_start_stop(
+    test_env: TestEnv,
+    fake_time: time_machine.Coordinates,
+) -> None:
+    """Test behavior when receiving start/stop messages."""
+    now = _now()
+    duration = timedelta(minutes=10)
+    dispatch = test_env.generator.generate_dispatch()
+    dispatch = replace(
+        dispatch,
+        active=True,
+        dry_run=False,
+        duration=duration,
+        start_time=now,
+        payload={"test": True},
+        type="UNIT_TEST",
+        recurrence=replace(
+            dispatch.recurrence,
+            frequency=Frequency.UNSPECIFIED,
+        ),
+    )
+
+    await test_env.running_status_sender.send(Dispatch(dispatch))
+    fake_time.shift(timedelta(seconds=1))
+
+    event = await test_env.configuration_receiver.receive()
+    assert event.options == {"test": True}
+    assert event.components == dispatch.selector
+    assert event.dry_run is False
+
+    assert test_env.actor.is_running is True
+
+    fake_time.shift(duration)
+    await test_env.running_status_sender.send(Dispatch(dispatch))
+
+    # Give await actor.stop a chance to run in DispatchManagingActor
+    await asyncio.sleep(0.1)
+
+    assert test_env.actor.is_running is False
+
+
+async def test_dry_run(test_env: TestEnv, fake_time: time_machine.Coordinates) -> None:
+    """Test the dry run mode."""
+    dispatch = test_env.generator.generate_dispatch()
+    dispatch = replace(
+        dispatch,
+        dry_run=True,
+        active=True,
+        start_time=_now(),
+        duration=timedelta(minutes=10),
+        type="UNIT_TEST",
+        recurrence=replace(
+            dispatch.recurrence,
+            frequency=Frequency.UNSPECIFIED,
+        ),
+    )
+
+    await test_env.running_status_sender.send(Dispatch(dispatch))
+    fake_time.shift(timedelta(seconds=1))
+
+    event = await test_env.configuration_receiver.receive()
+
+    assert event.dry_run is dispatch.dry_run
+    assert event.components == dispatch.selector
+    assert event.options == dispatch.payload
+    assert test_env.actor.is_running is True
+
+    assert dispatch.duration is not None
+    fake_time.shift(dispatch.duration)
+    await test_env.running_status_sender.send(Dispatch(dispatch))
+
+    # Give await actor.stop a chance to run in DispatchManagingActor
+    await asyncio.sleep(0.1)
+
+    assert test_env.actor.is_running is False