"A selector's task is a very difficult one, to get around and see as many players as possible," Mike Deare, the chief executive of South Australia, told ABC Sport.
"If you're an experienced player of Darren's calibre and you're playing against all the first-class players, then that puts him in an excellent position to be able to assess their abilities."
Deare said Lehmann had the mental capacity to combine selecting and captaining his state. "I have no doubt he could do both jobs," he said.
Australia picked Brad Hodge ahead of the 35-year-old Lehmann for the Test squad, while Mike Hussey got the nod for the One-day Internationals.
Cricket Australia (CA)'s four member selection panel headed by Trevor Hohns has David Boon and Andrew Hilditch as its other members.
The fourth post fell vacant following Allan Border's resignation last month. Lehmann is the fourth name in contention after Victoria's Ray Bright, Western Australia's Tom Hogan and Marshall Rosen of the New South Wales.