Walter Smith raised a number of eyebrows when he signed the 34-year-old in January but the player has settled in well at Ibrox, starting in Wednesday's 4-0 thumping of Hearts and scoring in yesterday's 3-1 win over Aberdeen.
"I think the manager knew what he was getting when he brought me up," said Dailly. "He knows that I can slot in pretty much anywhere across the back and also in midfield, where I played against Hearts."
Dailly admitted he is glad he made the move north and has been impressed with the quality on show at Ibrox.
"When called upon I'll just continue to give it everything I have. It's a great opportunity for me to be involved at such a big club and, looking at the way things have gone so far, I think I would have really regretted it had I not come up.
"It's a great squad of players, we have massive matches coming up in different competitions and it's exciting for me at this stage of my career to be involved in all of this.
"The gaffer will pick a team to suit each game, and with the amount of matches we have coming up in March he has told us all that we need to be ready.
"I have always prided myself in keeping fit, but the Hearts game was my first 90 minutes for a while and I felt good," added Dailly.