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A former Delhi first-class player, 55-year-old Sharma was the bowling coach of the team last season, when KP Bhaskar was the head coach.
Sharma is a Dronacharya awardee and he has also coach ICC Associate team Malta. He has also guided Delhi to CK Nayudu Trophy (Under-23) title.
Former India batsman Gursharan Singh was named the assistant coach.
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Mohan Chaturvedi and Chetnya Nanda are the other members of the selection panel. Chairperson of Cricket Advisory Committee or his nominee will be the observer of the selection committee.
The appointments were announced on Sunday after they were recommended on Saturday by the cricket advisory committee of the DDCA.