Marsh was already a member of the panel, and has now been promoted to replace outgoing chairman John Inverarity, as forecast on Thursday by Fairfax Media.

Inverarity had held the role since mid-2011 following the Argus review into the state of Australian cricket.

Cricket Australia announced on Friday that Marsh, 66, had been signed to a three-year contract.

"Rod Marsh is the right man to take on this important role having been a key member of the panel since 2011," Cricket Australia CEO James Sutherland said on the CA website.

"His track record speaks for itself. He brings a wealth of experience to the position, having been a leading player, coach and most recently a selector.

"He has a great eye for talent and has strong relationships throughout international cricket."

Marsh had been serving as CA's manager of elite coaching development, having previously held positions in England as a national selector as well as head of of the national academy. He played 96 Tests during a storied international career through the 1970s and 80s.

70-year-old Inverarity had been hoping to continue in a part-time capacity, but CA believed that the time was right for him to step aside entirely.

Andy Bichel has also stepped aside from the panel, citing his workload in dual roles as a coach in the Indian Premier League and as an Australian selector as too burdensome on his young family.

Sutherland was glowing in his praise for both departing selectors.

"When John Inverarity took over as National Selector the Australian Test team was ranked fourth in the world and its on-field performance was well short of where it is today," Sutherland said.

"He leaves his post with Australian teams in a position of strength holding the number one ranking in Test and One-Day International cricket.

"We thank John for his leadership and the integrity and insight he brought to the role throughout his tenure as the National Selector and the lifelong commitment he has given to Australian cricket.

"Andy Bichel (also) made a great contribution at the selection table for two and a half years, just as he also did as a player for Australia and Queensland.

Hohns had previously served on the panel during the halcyon years of 1993-2006, including a decade-long stint as chairman. He had been holding positions as a Queensland selector and talent manager.

Waugh will be allowed to continue in his media roles, including that of an expert commentator on Channel Ten's coverage of the Big Bash League, a position which affords him the chance to keep an eye on an abundance of young prospects

The fourth position on the panel belongs to the national coach, currently Darren Lehmann.