Well, as already stated by DF, devs will most likely throttle one to maximize the other. The thing is, doing it this way will allow devs to extract more performance than having set clocks. Otherwise we would likely have a PS5 running at say 3.2 GHz CPU and 1.9 GHz GPU flat, for example. But this way, you can boost your CPU or GPU at the times where the other is idle.
Say for example you have to render 50 people on the street with high polygons. That is high on the CPU, but a street itself is not that taxing on the GPU. You lower the GPU power usage and give the CPU its max performance.
If you have a scene with ray tracing but with barely any polygons in it, the CPU will not need to use that much power but the GPU is under a heavy workload. You then shift the power to the GPU.
If you had set clocks, you would have lower performance in either of the above scenarios.
And games are basically like that. There are very few situations where both the CPU and the GPU are both at max workload. What the PS5 is doing is very smart and efficient, compared to what its specs would be if they didn't do it this way. It's still inferior to the brute force approach of the XSX however, because the max performance of the PS5 is simply below the standard performance of the XSX. If the XSX was allowed to use SmartShift, the gap would only widen.