Imho, there is no problem.

In GDS, hyphen is not available so you have to put a space instead of the hyphen, and most booking tool/MMB do not retrieve space when they display the name.

Thus in the GDS, there must be :

SMITH JONES/NANCY JANE MRS

But what is displayed is SMITHJONES NANCYJANE.

I wouldn't mind to be honest but you can call the airline if you want to be sure there's no trouble.