Wallabies hire New Zealand's Donnelly to help Schmidt
"Watching from afar, the journey the team is on and the improvement they are making is exciting," said Donnelly, who worked with Super Rugby side Western Force last season.
"I'm looking forward to rolling up my sleeves and doing my part to continue the ongoing growth of the team."
Donnelly played 15 Tests for New Zealand and nearly 100 Super Rugby games, along with three seasons in the France's Top 14, before transitioning to coaching.
The Wallabies get their Rugby Championship underway against South Africa in Johannesburg on August 16.
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