The 44-year-old, who had two games in caretaker charge following the dismissal of Andre Villas-Boas, signed a deal until the end of next season on Monday.
A host of other names were linked with the vacancy but chairman Daniel Level felt the club would benefit from having Sherwood at the helm.
And the former Spurs midfielder was delighted with that decision.
"It's an honour to be head coach of this top club," he told the club's official website. "It's a club that means a lot to me.
"I've known it from the grass roots right up to the first team, worked at every level of the football club and played here
"If you cut me in half, I bleed the colour of the club. It's a proud moment."
Tottenham, who sit seventh in the Premier League, face West Brom on Thursday before fixtures against Stoke City and Manchester United.
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