Marsh was endorsed by CA's board of directors as a replacement for John Inverarity, 70, who has stood down after two-and-a-half years in charge.
CA said Marsh will move to a full-time role leading a panel that includes national coach Darren Lehmann, former Test and one day international star Waugh and Hohns, with Andy Bichel departing.
CA chief executive James Sutherland said Marsh, who has been offered a three-year contract, has the experience and knowledge to carry out the challenging responsibilities of leading the panel.
"He brings a wealth of experience to the position, having been a leading player, coach and selector.
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"He has a great eye for talent and has strong relationships throughout international cricket."
Marsh's Test career spanned 14 years from 1970-1984, during which time he made a then-record 355 dismissals as wicketkeeper.
From 1990 to 2001 he oversaw the development of Australia's best young cricketers as head coach of the national cricket academy, where he helped launch the international careers of the likes of Ricky Ponting, Adam Gilchrist, Shane Warne and Glenn McGrath.