The experienced attacker feels his countryman has the potential to become a important figure at the Bavarians, regardless of the stiff competition for places
The 26-year-old Mandzukic has impressed at Bayern since joining them in the summer transfer window and has already netted six goals in seven appearances.
"Up to now, Mario's been practically scoring at will for Bayern. As a striker, it couldn't have been a better start for him," Olic was quoted as saying on the Bayern Munich website.
"Despite the fierce competition for a place in attack, I think he has a chance of establishing himself and playing an important role for the club."
Mandzukic will be looking to add to his tally on Tuesday evening when Bayerrn host his former club Wolfsburg at the Allianz Arena.