Transaction management refers to the process of handling a series of operations that must be completed successfully to ensure data integrity. It ensures that all parts of a transaction are executed correctly, or none at all, which is crucial in systems like databases where data consistency is vital. In transaction management, key concepts include ACID properties: Atomicity, Consistency, Isolation, and Durability. These principles help maintain the reliability of transactions, ensuring that even in the event of a failure, the system can recover to a stable state without losing data or creating inconsistencies.