The 20-year-old striker will spend the rest of the season on loan at the Keepmoat, earning his first taste of EFL football after spending the first half of the season on loan with Barrow AFC in the National League.
'He's scored goals, his goalscoring record is great so he's obviously a finisher,' Blades boss Wilder said.
'He's an athletic centre forward. He's not a big target man but his general all round play is good.
'He wants to run around and score goals which is a good habit to have.'
Smith netted 11 goals in 24 appearances for Barrow over a four month loan spell which was cut short due to an injury crisis at Bramall Lane.
And Wilder believes the Sheffield-born forward has grown during his time in Cumbria.
He said: 'Tyler is a young player who has done very well out in the National League with Barrow and scored a few goals.
'He's a local boy who came through the Academy and he's scored goals right the way through, for the U18s and U23s.
'He's adjusted and adapted to man's football very well.
'I don't know if you've been up to Barrow but it's quite a tough place to go and play football for a young kid. It's an unforgiving division, the National League, as well.
'For him to go there and do as well as he has done is great for him.'
Barrow boss Ian Evatt was disappointed to see Smith's loan spell ended early but was full of praise for the impact he made during his time with the club.
And he praised the work ethic of the youngster.
He said:Â 'He's a kid whose attitude to training is a minority these days.
'Some of the young players of today probably don't train as hard as they should do, they take things for granted, some of them, but Tyler certainly doesn't.
'His work ethic '“ I have to drag him off the training pitch every single day and tell him '˜that's enough.'
'I have to physically get him off the pitch because he wants to improve and he wants to learn and he's going to have a fantastic career and we're seeing the fruits of what he can do right now.'