Reid acknowledged Mooney's appointment could be seen as a slap in the face for local candidates but he hoped it would lead to a boost in the depth of quality coaching in Otago.
Otago Country coach David Latta and Alhambra-Union coach Mike Moeahu were among a promising group that could benefit from working with Mooney over the next two years.
"We need to get our good coaches, like David and Mike and Andy Hunter and Brett McCormack, really firing," Reid said yesterday.
"Phil's job will be to help get these guys up to speed."
Reid was concerned there were no obvious candidates in the union for the Highlanders assistant role recently filled by North Otago's Barry Matthews.
He was less bothered by Mooney's record - six wins out of 26 - with the Queensland Reds, who fired the new Otago coach in September.
"We were probably more interested in his ability to bring players through," Reid said.
"He's had some fairly good success with the young Wallabies.
"Look at that under-19 team he coached.
"He's got a good track record.
"Part of the role now is coaching the coaches, and developing a coaching plan.
"Phil has implemented one in Queensland, so that was pretty appealing."
Reid would not specify why Latta, widely tipped to get the job, was overlooked.
He said he understood Latta and Moeahu would be disappointed.
Reid would also not comment on whether the ORFU board's decision was unanimous.
The Otago Daily Times understands one board member wanted Latta but the rest accepted the interview panel's support for Mooney.
In Balclutha, Latta remained upset at being bypassed for the job he coveted but buoyed by the messages of support he was receiving.
"My phone hasn't stopped all day," Latta said.
"It's quite gut-wrenching in a way because a lot of people saw an opportunity to unite the Otago union by appointing a coach from the country."
Latta, who wanted to coach Otago last year and was given a role with the team when Steve Martin was reappointed, said he was not given a specific reason for being turned down in favour of Mooney.
"I never took it for granted that I would get the job.
"But I thought I had a strong case.
"I had gone and done the things I was asked to do by the union.
"I had my year planned out, what I wanted to achieve, everything.
"I just wanted to get my hands dirty, get stuck in and make a difference."
Latta would not have been bothered if Moeahu had got the job but he was surprised the ORFU went for Mooney.
It seems likely he will be sounded out about being Mooney's assistant but whether he accepts is another matter.
"If it was someone from within the union, I would look at it, because there are people here who are passionate about Otago rugby and know what makes it tick.
"I couldn't comment at this stage on whether I'd want to be an assistant to someone from outside the place."
Matthews could be the wildcard.
He has pulled out of the running to coach South Canterbury and it could be that he is being lined up to join Otago in some role.
