Newcastle United manager Pardew was given permission to talk to Palace, who sacked manager Neil Warnock last Saturday, earlier this week after the two clubs agreed a compensation package.
An agreement between Pardew and Palace has yet to be finalised, but Millen insists that there have been no hitches in negotiations and the 53-year-old is still set to manage the club he spent four years with as a player, helping the south London outfit to the FA Cup final in 1990.
"[Palace and Pardew] are still talking but there's no problems at all, it's just taking a bit longer than expected," Millen said ahead of Sunday's FA Cup clash with Dover Athletic.
"We're preparing for Alan to take training tomorrow but he'll pick the team.
"[Pardew] left training to myself and [first-team coach] Ben [Garner] today, he was in the office sorting things out."
A deal may not yet have been reached, but Millen revealed that he and Pardew have already begun the process of formalising Palace's targets for the January transfer window.
"A new manager will come in which will hopefully be a spring in our step and help us survive," Millen added.
"We've had to share our thoughts on transfer targets with Alan. He knows what we feel we need and has seen the squad over the past games."
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