Pantsir-SM is no more SHORAD, but medium range SAM with similar range as Buk-M1. It doesn't need search radar on every vehicle like SHORAD need, because of shorter range. I think Pantsir-SM will cover a niche between S-350 and Pantsir-S1 in VKO and in PVO VVS.
For that to be the case there would need to be another vehicle for the Pantsir-SM with a search radar to get target information for the SM to find its targets.
I suppose in an IAD that they might get target information from the network, but the question is... does this suggest a new structure... I mean BUK has some pretty substantial radar vehicles that operate with it to collect data.... is the Pantsir-S with the search radar intended to be a combined search system and SHORAD that can be attached to any SAM battery to scan for targets and also offer close in defence of enemy munitions?
Personally I think Pantsir-SM is the same as the 40km range S-350 small missile and would be redundant... except for the greater numbers the SM is carried in.
the other question is... at 40km what is SMs guidance method... is it still command guided out to 40km? Or have they adapted an ARH MMW radar seeker or IIR seeker or both combined from the HERMES missile system.. in which case they would become more expensive but also more useful... the export tracking radar for Pantsir can handle 3 target tracking channels with the fourth target being engaged optically. The SM clearly has an optical turret and tracking radar but with terminal guidance that means it could target up to 4 targets at a time but the high speed missiles would rapidly get close enough to get a lock releasing guidance channels for more missiles to be launched before the first missiles have impacted the target.
Personally I think the Pantsirs will all operate together as SHORADs even though the newer SMs can reach 40km I suspect that will be to make the SHORAD more effective by being able to shoot down some launch platforms as well as incoming munitions... easier to shoot down one Apache at 25km than let the Apache fire off all its 16 missiles and then close to try to get you with its gun... 1 target vs 17.