The 24-year-old has been given an extended run in the team under Dutton and was awarded a new one-year deal – with a year option – for his performances.
After finally netting his first Saddlers goal in March, scoring from the penalty spot, Osadebe added a wonderful long-range winner against Tranmere before a tidy header against Scunthorpe two games ago.
Now, Dutton has backed the midfielder to become a potent goalscoring threat.
"He's a rough diamond," Dutton said.
"He's a scorer of great goals, whereas I want him to be a great goalscorer. He has that in his locker, that talent to score a worldie from 25 yards out.
"He goes looking for those moments, but we need to turn him into someone that will score tap-ins, run beyond defences and score 15 to 20 goals a season.
"There's no reason why not. He's got the energy and talent, he just needs the coaching and awareness."
Osadebe has played on both the wing and a number eight midfield role, with the latter proving to suit his game better.
Although Dutton believes he is capable of playing in both positions, he does concede that a deeper and more central midfield role, allowing him to attack and get on the ball, plays to his strengths.
He added: "He covers 12k almost every game and his high-speed running is through the roof.
"There's no reason why he should just be on the wing, he can tackle, he can compete and get box-to-box.
"He's more suited in amongst it and making things happen. His form has picked up.
"If you play him out wide he'll give you a solid performance, just as he would inside the pitch. He's a talented boy.
"He's a great lad. He's bouncy, bubbly and chirpy, but chirpy in a good way.
"The lads love his humour, and I love it. He's a passionate guy and he wants the best for himself and his family. I want to try and help him with that."