Macfadyen won the last of his nine caps to date against South Africa at Murrayfield in 2004. Hadden said: "Donnie did well when he came on last week. He is an experienced international player and we believe he is the man for the occasion on Saturday."
Macfadyen's inclusion at No 7 means Ali Hogg occupies the No 8 berth with Simon Taylor absent through injury. Otherwise the Scotland pack is the same which started the final victory of the RBS 6 Nations Championship - against Italy - with Scott Lawson winning the nod at hooker and Nathan Hines partnering Scott Murray in the second-row.
Scotland field the same back division that started the Championship victories over France and England.
Hadden added: "Both hookers threw in very well last week and as ever with selection it's a case of trying to keep a blend between continuity, competition for places and experience.
"We're very much looking forward to Saturday's match. We know Scotland have never beaten South Africa here and that the Springboks are unbeaten at home for the last two years. We also know that they represent a formidable physical challenge.
"We have made some progress this year and Saturday will give us a good indication of where we stand against one of the top sides in the world."
Scotland team: Hugo Southwell (Edinburgh Gunners); 14 Chris Paterson (Edinburgh Gunners), 13 Marcus Di Rollo (Edinburgh Gunners), 12 Andrew Henderson (Glasgow Warriors), 11 Sean Lamont (Northampton Saints); 10 Dan Parks (Glasgow Warriors), 9 Mike Blair (Edinburgh Gunners); 1 Gavin Kerr (Leeds Tykes), 2 Scott Lawson (Glasgow Warriors), 3 Bruce Douglas (Border Reivers); 4 Nathan Hines (Perpignan), 5 Scott Murray (Edinburgh Gunners); 6 Jason White (Sale Sharks) CAPTAIN, 8 Allister Hogg (Edinburgh Gunners), 7 Donnie Macfadyen (Glasgow Warriors)
Subs from: Dougie Hall (Edinburgh Gunners), Craig Smith (Edinburgh Gunners), Alastair Kellock (Edinburgh Gunners), Jon Petrie (Glasgow Warriors), Kelly Brown (Border Reivers), Sam Pinder (Glasgow Warriors), Gordon Ross (Leeds Tykes), Simon Webster (Edinburgh Gunners)