The 42-year-old Tasmanian has spent two years as assistant coach and lead batting coach for Cricket Australia.
Di Venuto was with Sussex and Derbyshire before moving to Durham, where he twice won the county title.
But he is scheduled to return to England in time for the new season in April on an initial three-year deal.
Surrey director of cricket Alec Stewart said: "Following the departure of Graham Ford it was vitally important that we found another high quality coach with a great work ethic and excellent knowledge of the English county game.
"Michael is a good people person. His 12 years of county experience will be invaluable. He is highly regarded within the Australian set-up for his ability to work with and get the best out of players.
"Being able to appoint a coach from a top quality international team can only serve to benefit the club and I would like to thank Cricket Australia for their professional dealings."
Surrey have appointed former Australia one-day international batsman Michael di Venuto as their new head coach to replace Graham Ford.