docs: Add smart defaults documentation to values and README

Adds concise smart defaults documentation with references to detailed
SMART-DEFAULTS.md guide.

Changes:
- Chart.yaml: Bump version 1.8.26 → 1.8.27
- values.yaml: Added smart defaults comment at global section
- README.md: Added Smart Defaults section with key behaviors and example
- README.md: Added smart defaults to table of contents
- README.md: Added SMART-DEFAULTS.md to documentation index

🤖 Generated with [Claude Code](https://claude.com/claude-code)

Co-Authored-By: Claude <noreply@anthropic.com>

Author: cole-rgb

charts/judge/Chart.yaml

@@ -16,7 +16,7 @@ type: application
 # This is the chart version. This version number should be incremented each time you make changes
 # to the chart and its templates, including the app version.
 # Versions are expected to follow Semantic Versioning (https://semver.org/)
-version: "1.8.26"
+version: "1.8.27"
 
 # This is the version number of the application being deployed. This version number should be
 # incremented each time you make changes to the application. Versions are not expected to

charts/judge/README.md

@@ -11,6 +11,7 @@ Production-ready Helm chart for deploying the complete Judge platform on Kuberne
 - [Overview](#overview)
 - [Prerequisites](#prerequisites)
 - [Configuration](#configuration)
+- [Smart Defaults](#smart-defaults)
 - [Installation](#installation)
 - [External Secrets Operator](#external-secrets-operator)
 - [OIDC Authentication](#oidc-authentication)
@@ -308,6 +309,26 @@ global:
 
 **IMPORTANT**: Never commit database passwords to version control. Use a separate `secrets.yaml` file (not committed) or ESO with Vault.
 
+## Smart Defaults
+
+Judge Helm charts use **Smart Defaults** to minimize configuration while maintaining full customizability. Configuration automatically adapts based on context without explicit settings.
+
+**Key behaviors:**
+- **Istio Consolidation**: All Istio config under `global.istio` (no duplication)
+- **Dev Infrastructure**: `global.dev=true` auto-enables LocalStack + PostgreSQL
+- **Preflight Validation**: Disabled by default (opt-in for production)
+
+**Example - Dev Mode:**
+```yaml
+global:
+  dev: true  # Auto-enables localstack + postgresql
+  domain: dev.example.com
+  istio:
+    enabled: true
+```
+
+**Documentation**: See [SMART-DEFAULTS.md](SMART-DEFAULTS.md) for complete documentation, testing strategy, and migration guide.
+
 ## Installation
 
 ### From Local Repository
@@ -869,6 +890,7 @@ istioctl analyze -n judge
 
 - [Getting Started Guide](docs/getting-started-with-judge-helm.md)
 - [Configuration Reference](docs/configuring-judge-helm.md)
+- [Smart Defaults Pattern](SMART-DEFAULTS.md) - Auto-adapting configuration
 
 ### Architecture