He will link up with current Munster defence coach and former Ireland number 8 Anthony Foley, who won 62 caps for his country and will take responsibility for the Wolfhounds forwards.
The remaining senior member of the Wolfhounds management team is manager Joey Miles who was worked with the Wolfhounds side for the last five years as well as with the Ireland senior squad on the tours to Japan in 2005 and New Zealand/Australia in 2008.
The Wolfhounds coaching team will work closely with the Ireland senior management in terms of preparing the Wolfhounds for their upcoming games.
Commenting on his appointment, Eric Elwood said: "I am delighted to take up this role and to be getting the opportunity to work with such a wide group of players at international level again.
"I know from my time with the Ireland Under-20 team that there is nothing more satisfying then bringing players together and to help prepare them to represent their country.
"It will be great to work with my old team-mate Axel (Anthony Foley) as both of us have progressed onto the other side of the game as coaches.
"The exposure of Ireland players to top class opposition at international level is important for not only the development of the players themselves, but also to have them prepared and primed to step into the senior team, particularly from the timing of our matches in terms of the RBS 6 Nations Championship.
"I will be working with Declan (Kidney) in terms of getting the best out of the players and impressing on them that the Wolfhounds team will be another opportunity to press their claims for a place in the Ireland senior team."
Anthony Foley said: "Both myself and Eric are young coaches, so I think it is an exciting chance for both of us to pass over some knowledge to the players we work with but also learn from them.
"The Wolfhounds is always seen as a stepping stone for players as the recent history of the side has shown, but from my own development as a coach it's a chance to broaden my experience across other parts of preparing a team and I am looking forward to it."
O2 IRELAND WOLFHOUNDS FIXTURES:
Friday, January 28 -
Scotland 'A' v O2 Ireland Wolfhounds, Netherdale, Galashiels, 7.30pm
Friday, February 4 -
O2 Ireland Wolfhounds v England Saxons, Ravenhill, 7.30pm