"I'm delighted to be given the opportunity to manage Tranmere Rovers by the chairman and board of directors," Adams told the club's official website. "The immediate task is to get the club off the foot of the table. There's a lot of hard work ahead but it's a challenge I'm relishing.
"Tranmere is a good club with a proud history and one which shouldn't be near the bottom of the division. In the weeks and months ahead I'll be doing everything I can to drive the club forward and to a much healthier position."
Chairman Mark Palios added: "In the position the club currently finds itself we felt it was important to appoint an experienced manager with good connections and a track record of success in League Two.
"In our present position at the bottom of the league, we don't have the luxury of the time to allow a new manager to learn his trade. Micky has an impressive win ratio, which he has sustained over a long career and often in circumstances where he has had to operate in difficult situations or with limited budgets."
Tranmere have won just twice in 12 League Two matches.