Boyd, 24 on Saturday, has endured a troubled start to the new campaign, his profligacy in front of goal heightened by the general success enjoyed by the rest of the team in those opening matches.
Squandered opportunities saw him relegated to the bench as an unused substitute for Tuesday's Champions League qualifier against Red Star Belgrade.
But Smith is confident the once prolific targetman still has plenty to offer, and contract talks are now under way to ensure a lengthy stay at Rangers.
"Boyd has been offered a new contract but I don't know what stage they are at in negotiations," he said.
"Nowadays managers don't really get involved - we only get brought in if there are problems.
"Kris Boyd is going through a stage like every other striker. But he's been top goalscorer in Scotland for the last three years.
"In terms of finishing he is a victim of his own high standards. He makes no bones about it - he's a goalscorer and they always go through wee awkward patches."
Meanwhile, Smith believes his lengthy pursuit of Lee McCulloch, and the £2.25million paid to Wigan to secure his services, have been vindicated by his performances so far.
While fellow new recruit Carlos Cuellar has claimed all the plaudits, McCulloch has been an unsung hero, offering four assists and one goal from five games.
Smith said: "He's given me what I hoped for and I think it will improve when everybody gains a better knowledge of each other.
"There are aspects of his play which our players are not yet aware of.
"He has brought to the team what I thought he would do. Like Kirk Broadfoot, he can play a number of positions, which is a handy thing for us.
"It doesn't faze him to play right or left and he can go through the middle as a striker as well. It has been his good, consistent level of performance that has pleased me.
"He has been involved in a number of the goals."
Rangers skipper Barry Ferguson echoed his boss's view.
"He's done great," Ferguson added. "It's been a great move for big Lee because he's always been a Rangers supporter.
"He's been fantastic since he's come in but you know what you're going to get from him in every game.
"He works his backside off and gives you that aerial threat as well.
"When he came here people questioned the amount of money he cost but I always thought - having grown up with him and played with him at boys club level - that he was good enough to play for Rangers.
"He proved that down in the Premiership for six years.
"We go way back to the time we were at Rangers Boys Club and he's always been a good player."