Smith's struggling Saddlers are winless in 10 matches in all competitions since a successful September period, while they have not made the third round of the world's oldest domestic cup competition since 2008.
Non-league Lincoln held Walsall to a 1-1 draw in the first meeting and go into the replay unbeaten in eight games. Smith said: "We know plenty about Lincoln and are under no illusions about the task in hand, but if we play to our capabilities then we will beat them.
"We will give our opponents the respect that they deserve, but there is plenty of belief among the lads and hopefully progression into the next round will give us the kickstart we need.
"The FA Cup means a lot to me; it is a special competition and this club is long overdue a cup run. To progress will help the club in so many ways. Financially the prize money will be most welcome and in terms of winning matches and moving through the rounds, this will help boost our confidence and galvanise the club.
"We've prepared well for this game over the past few days and are ready to get out there and get back to doing what served us so well throughout September."