Edwards has signed a three-and-a-half year deal to succeed Vitor Pereira, who was sacked earlier this month after failing to win any of his opening 10 Premier League games this season.
Former defender Edwards, who made 111 appearances for Wolves as a player, has also served as under-18s, under-23s and first team coach during two previous spells at the club.
Since, Edwards led Forest Green Rovers to a League Two title in 2022 and famously earned promotion to the Premier League with Luton Town via the Championship play-offs.
After his unveiling, executive chairman Shi feels that Edwards can bring his “own identity and ideas” to build a new chapter at the club.
“I know Rob very well and I have seen his growth in different jobs,” Shi said.
“He’s a very good person, he knows the club very well, he knows the city, the fans and he is very talented.
“When he was a youth coach here, he showed his tactical awareness, but after he took first-team jobs he started to grow his own identity, character and leadership.
“We need to refresh the whole club with a new coach’s philosophy, bringing his own identity and ideas, and we can build on that.
“We are at a new chapter for the club and Rob will be a key piece of that.”
Edwards will bring in Harry Watling, who worked alongside him at Middlesbrough, as his new assistant head coach.
Wolves have collected just two points from their first 11 league games and already sit eight points adrift of safety.
Now, Edwards has the unenviable task of pulling off the ultimate rescue mission and Matt Jackson is hopeful his energy can quickly be translated on to the pitch.
“Rob and his staff have demonstrated previously that they can be really good in shifting the culture, getting confidence quickly into players and building foundations for a really positive future,” the director of player recruitment and development added.
“He loves being on the grass and making a change to a team, embracing the tactics of different situations.
“The energy that he brings off the field, we have to get it on to the pitch. We have to be realistic about where we are, and we definitely need to be held accountable.
“We now need to get that belief into the players quickly and think Rob will be great culturally for the whole football club.”
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