I am about to be demoted from a management position back to an individual contributor. How can I handle this professionally?
I've been running a small team for about a year - informally for 6 months, and formally for 6 months. I took the role during a time of significant growth and transition because there really wasn't anybody else to do it. Over time it's become clear to both me and my boss that I am happier and more effective as a "dev lead" rather than formal HR manager. The team is more productive when I am involved technically than when I am managing. While it stings a bit to be demoted, I am overall pleased with the outcome and looking forward to getting back to development.
I do not believe any of my former directs (who were mostly also former peers) will be running the team; it will be another manager or my current boss. I will still have a formal leadership role, but it will be technical and not managerial.
How can I handle this professionally? What sort of things should I do? Should I go through some of the steps in the "How to Resign" cast? Or are those less important since I'm still going to be around? Anything I should be doing, specifically with respect to my boss, my current (management) peers, and my directs?

Stop calling it demoted
How do you think that will make your coworkers feel? "sorry I was just demoted "down" to your level!"
If you burnt bridges as a manager use the MT apology cast and say sorry the MT way. Other then that either start calling it a promotion or just kick ass in the new role you love anyway!
RC
Similar experience
Robert
I have had a similar experience. After several years as a manager, I took/accepted a non-managerial lead role. This could be similar to your circumstances.
The sting is understandable, and recognize that a wise man once said "how you feel is your fault". I know that can be tough to get your arms around at times...stretch some, and you'll make the reach.
I was fortunate to hear Mark address a very similar question. He noted that it's unusual for a firm to allow this and it can be a good move. His advice was to:
I've looked back on this advice and found it valuable. I have also found opportunities to build better relationships with the team and lead in different ways now the I am not "the boss".
Good luck.
Tim