The former Toffees winger and assistant manager returned to Everton on Tuesday and Kendall believes the appointment is a shrewd move by boss David Moyes.
Kendall told the Chester Chronicle: "It's a great appointment and Alan will be delighted. He'll instantly command the respect of all the young players."
Irvine succeeds Ray Hall, who has retired from the position but will continue to work for the Toffees as an international ambassador.
Kendall added: "Ray has done a magnificent job but it speaks volumes for Alan's reputation that David has called him back. He's been a bit unfortunate with the managerial roles he's taken since leaving Everton - there have been times when his prospects of being successful have been limited.
"This is a big role for Alan. You're always competing to unearth young talent - especially in this city - but Everton have a good record of bringing through their Academy players to the first team."
Source: Team Talk
Source: Team Talk