The purpose of this paper is to justify that there is an absence of theory to fully convincing the relationship between Human Resource Management (HRM) and firm performance. This paper focuses on developing a conceptual framework as an effort to fill in the missing theory by discussing previous literatures, and therefore to suggest a conceptual mediating framework that complimenting all the findings from previous studies. Based on literature review, this paper hypothesized that HR roles act as a mediator that act as a sense of direction to improve firm performance.