Dayan directed 16 films. In 1976 he directed Giv'at Halfon Eina Ona, a comedy about a group of military reservists in the Sinai. In 1992, he wrote and directed "Life According to Agfa", portraying life in a Tel Aviv pub. The film was nominated for the Golden Bear at the 43rd Berlin International Film Festival and won an Honorable Mention. In 1999, he was a member of the jury at the 49th Berlin International Film Festival.