Giggs, speaking in United's MUTV Group Chat, believes the Norwegian is building a highly positive dressing room.
“Dan's [James] not only a talented player. He's a really good character and a solid lad. He wants to improve and that's what I've seen over the last 18 months.
“But as I said, more than that for me, is he's a really good character. I think that's what Ole has tried to do over the last months, have some really good characters in the dressing room."
Prior to the Premier League's suspension, United were on an unbeaten run of 11 games in all competitions and Giggs believes his former club is heading in the right direction.
“It was a shame we had to pause the season because we were flying," he added. “Ole started his management with United flying, then had a tough spell, and then we were on a good run.
"But, like I said earlier, the players he's got in have been really impressive... I still think we need four or five players but we're definitely going in the right direction."