Lampard is counting on James' versatility as he returns from ankle injury.
"We have a lot of big players coming back who will really up our level because they're going to compete to play," said Lampard.
"Azpilicueta is someone who played at times last season at centre-back and he played there in a three in the [Antonio] Conte era. Reece is also adaptable and so are certain other players so there can be interchanging of positions.
"Reece can play in midfield, which he did at Wigan last season when he played the run-in as a holding midfielder, and he can play at centre-back and right-back so we have options."