The Latics confirmed Scholes has taken over from caretaker boss Pete Wild on Monday:
Scholes has signed a deal to keep him at Boundary Park until the end of next season.
BBC Radio Manchester's Mike Minay relayed Scholes' delight at taking charge:
Mike Minay @MikeMinay
“I want my team to be focused on winning, I know it’s not going to happen every week. I go into every game expecting to win, I go into every game expecting to be entertained... & I’ll be thinking of scoring goals... Joe Royle was exactly the same.” Paul Scholes on his #OAFC side
Oldham owner Abdallah Lemsagam said:
"Paul has won everything there is to win in football. He is a man who will bring a lot of footballing knowledge and his hunger to succeed in management will be there for everyone to see.
"It's no secret how much he has wanted this job in the past and how much he loves this club, so I'm very happy to bring him into our family at Oldham Athletic.
"Paul will have my backing 100 per cent and hopefully we can work together to bring success back to this club."
Scholes, who owns a 10 per cent stake in National League outfit Salford City, was given permission to manage his boyhood club by the Football League.
Salford are fifth in the tier below League Two side Oldham, so the two could face one another next season, but the EFL decided there is not a conflict of interest.
ESPN's Alex Shaw is sceptical of Scholes' appointment but is eager to see how he fares in the role:
The job will be the former England international's first in management, and his previous coaching experience is limited.
Scholes joined the coaching staff at United during his brief retirement in 2011 before he resumed playing the following year. He also worked under former team-mate Ryan Giggs when the Welshman took charge of the Red Devils for the final four games of the 2013-14 season following David Moyes' sacking.
Oldham are 14th in League Two, 14 points ahead of the drop with two games in hand over 23rd-place Macclesfield Town.
Relegation should therefore be of little worry for the Latics, but they're also nine points off a play-off place with a game in hand, so they'll need a strong finish to the season to be in contention for promotion.
Scholes' first match in charge will be at home to Yeovil Town, who have lost each of their last four, on Tuesday.