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The move follows London mayor Boris Johnson's launch of an inquiry in to racism in the Met and the Metropolitan Black Police Association's (MetBPA) pledge to discourage minorities from working there.
Ms Smith said she was "disappointed" by the move, and said the group's advertising campaign to discourage ethnic minorities applicants to the Met was "unhelpful".
She said the police service had "come a long way" since the publication of the Macpherson Report, which identified institutional racism in the Met.
She said: "We need a police service which understands the communities it serves and which represents those communities and the whole country - and that is what we should work together to achieve.
"That is why I have asked Policing Minister Vernon Coaker to assess ethnic minority recruitment and progression nationally across the police service.
"He will do this in conjunction with police representatives, including the Police Federation, Superintendent's Association, and Acpo and will report to me on any further action necessary within two weeks."
The Home Office stressed the move was not a review, suggesting swift changes to recruitment practices and promotion policy are unlikely.
Ms Smith said: "The police service is determined to offer fair and equal opportunities to all its members, regardless of age, gender, ethnicity or background. I am disappointed that the Metropolitan Black Police Association has decided on this course of action and hope that it doesn't undo the significant progress made to date."
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