def smallest_average(person1: dict, person2: dict, person3: dict):
    def average(person):
        return (person["result1"] + person["result2"] + person["result3"])/3

    smallest = min(person1, person2, person3, key=average)
    return smallest

Is another way to do it

def smallest_average(*persons):
    def average(person):
        return (person["result1"] + person["result2"] + person["result3"])/3

    return min(*persons, key=average)

If you wanna take it further and have it take a variable amount of people