The versatile 24-year-old, who can play anywhere along the defence and in midfield, has been used at left-back following Nicky Shorey's return to Aston Villa and an injury to Joel Lynch.
However, Davies does not expect Perch to play in that position on a permanent basis.
"He has showed he can play there and some of his performances have been first class in recent weeks," said the Scot. "We know he is not a natural left-back but he is a player that the top team in the division tried to buy in the transfer window.
"There is a reason for that. He is somebody who is versatile and who can perform in a number of positions. He is somebody we are glad to have.
"I wouldn't tell him to get too comfy in the position, though. He is a good player to have around but not necessarily to play at left-back."
Source: Team Talk