Symptoms

DropDown control populated from a SmartObject appears to re-sort the results from the List method and puts all items in alphabetical order and ignores the actual order provided by SmartObject.

In this particular instance, a user built Stored Procedure that reads data from a SQL DB and sorts the results based on a "Value" column in the DB. When using the Stored Procedure as a data source on a drop-down, the sort order was ignored even though there was an "Order By" clause in the SPROC.
 

Diagnoses

This item was identified as a bug by the Labs team.
 

Resolution

The following bug was logged for this behavior:

Bug 546355: K2SF DropDownControl Sorting overwritten to whatever Display Name is configured to, even when your Source is a SQLSmartObject(StoreProc) where OrderBy already configured.

As a temporary workaround, you can perform a sort on the smartforms level. Although this is not ideal, it will sort the dropdown list according to the "Value" column in the DB.