He was awarded a doctorate by Glasgow Caledonian University in recognition of his achievements in Scottish football.
Mr Smith won 21 major honours during his two spells at the club, including 10 Scottish League titles. He has also managed the Scottish national side.
He said: "I am absolutely delighted.
"I have been fortunate enough to receive a few awards in my career but this is one of the best because it has been given by people from outside the footballing fraternity."
Mr Smith shared the secret of his success in the game.
He said: "Mental toughness is required. In my early 20s, I realised I had to sit down and think about what I was doing. I knew I was no Lionel Messi but I loved football, so I decided to go into coaching."
l Sir Harry Burns, Chief Medical Officer for Scotland, also received an honorary degree from Glasgow Caledonian University. He was honoured for his service to the community and a medical career lasting 40 years.