My daughter had her 2 week check up today and the doctor noticed that her scalp is dry also. She told me to put some Selsun(sp?) Blue in her hair 2 times a week for 10 minutes. Then use a soft baby hairbrush on her hair and brush it in a circular motion. She also said when the shampoo is in her hair you gotta watch her really close so she doesn't rub it in her eyes. I haven't tried it yet. But hopeully it works.
I recently had this problem with my 6 month old. He had what looked like dry flakes on the top of his head. I asked the dr and she said it was normal, it's called cradle cap, and had me put baby oil on the dry part of his scalp an hour before I bathed him, then wash it away with baby shampoo. I used his baby brush to gently scrub the shampoo on his head. I only had to do it twice and it was gone. Don't use any kind of adult dandruff shampoo without consulting your pediatrician first, it may be medicated and can harm the baby.
It's cradle cap. My son had is so bad that the pedi recommended Selsun Blue diluted with baby shampoo. Selsun Blue is adult dandruff shampoo and it worked like a charm. You have to keep it out of the baby's eyes though, be very careful!
Added-- Baby oil will only make the hair oily AND flakey, ick!
Cradle Cap is common my DD had it when she was an infant up till she was 5 months old. I used warm baby oil after a bath massaged the warm baby oil in with a baby hairbrush in a circle motion . That got rid of the big flakes and also what got rid of the whole thing was the combo of using warm baby oil and gentle naturals cradle cap care .