Pipenv is a tool designed to simplify the management of Python project dependencies. It combines the functionalities of pip, the package installer for Python, and virtualenv, which creates isolated environments for projects. With Pipenv, developers can easily install, update, and manage libraries while ensuring that their projects remain organized and conflict-free. One of the key features of Pipenv is its use of a `Pipfile` to specify project dependencies and a `Pipfile.lock` to lock those dependencies to specific versions. This ensures that all team members and deployment environments use the same library versions, promoting consistency and reducing potential issues during development and production.