Smriti is memory. Memory is the glue that holds the whole universe and all aspects of Veda together in a unified whole. The infinite intelligence that dwells within the Absolute (Shruti) is carried forth into relativity through Smriti, the memory of that Knowledge.
You could say that Smriti goes in both directions: the memory of the Absolute as it goes into relativity and creates the objective world, as well as the memory in objects/people that directs them back to full wakefulness of the true nature of their Self as one with the universe.
It is the memory of the Absolute the gives direction to our lives in accord with Natural Law. It directs our lives to be in harmony with our own nature through memory of our Divine Nature. This is why Smriti provides us with Sarvadharma. “Sarva” means everything. “Dharma” means life in accord with Natural Law. So “Sarvadharma” provides everything with the ability to live in harmony with nature, in harmony with the Totality.