Wenger is coming under increasing scrutiny after the Gunners' wait for a Premier League title extended to 12 years this season, with a number of fans imploring the long-serving Frenchman to leave during their recent victory over Norwich City.
Simeone, meanwhile, steered Atletico Madrid to a second Champions League final in three years with an away-goals victory over Bayern Munich on Tuesday night, and while the two managers have drastically different styles of play, Hamann believes that Simeone is exactly what Arsenal need.
"He should be the most sought-after coach in the world. I think his track record is as good as any and this includes [Jose] Mourinho, [Pep] Guardiola, anyone," he told talkSPORT.
"What he has done at Atletico is as good as anyone's out there. When people say 'is he a manager for Arsenal? Can he manage Arsenal?' I would say the thing that Arsenal lack is exactly what Atletico's strength is.
"If I was Arsenal, I'd be on the way to Madrid and saying 'Diego, you win the Champions League and the day after you're ours."
In addition to reaching the Champions League final twice, Simeone has won the La Liga title, Europa League, Copa del Rey and Super Cup during his time at the Vicente Calderon.