Wilshere hung up his boots last week after battling a series of injuries that derailed his promising career.
The 30-year-old spent time working with Arsenal's young players last season and has now taken up the chance to help shape the Gunners' next generation of academy starlets.
"It's a huge honour to have this role. It's no secret that I love this club," Wilshere said in an Arsenal statement.
"I love what we stand for and a big part of my life was spent in this academy, some of the best days of my life. This is a big opportunity for me and I'm ready.
"I'm hungry and can't wait to help these young players thrive and be the best they can be on and off the pitch.
"It's a special feeling to be part of the Arsenal family."
Wilshere came through the Arsenal academy and also had spells with Bolton, Bournemouth, West Ham and Aarhus.
He made 197 appearances for the Gunners and was part of the FA Cup-winning sides of 2014 and 2015.
Arsenal academy manager Per Mertesacker said: "Everyone knows how passionate Jack is about Arsenal. He understands what we want to achieve here and he really impressed us last year.
"He knows exactly what it takes to progress through the academy into first-team football."