Key management refers to management of cryptographic keys in a cryptosystem. This includes dealing with the generation, exchange, storage, use, crypto-shredding (destruction) and replacement of keys. It includes cryptographic protocol design, key servers, user procedures, and other relevant protocols.
Key management concerns keys at the user level, either between users or systems. This is in contrast to key scheduling, which typically refers to the internal handling of keys within the operation of a cipher.
Successful key management is critical to the security of a crypto system. It is the more challenging side of cryptography in a sense that it involves aspects of social engineering such as system policy, user training, organizational and departmental interactions, and coordination between all of these elements, in contrast to pure mathematical practices that can be automated.