Drought is the most widespread disaster across the globe, every year it affects millions of lives in the world. It impact on rural economy and social systems are complex and long lasting. The empirical analysis of the socio-economic dimensions of drought is important for envision of an appropriate drought management plan. This micro level study has explained the causes, impacts and coping mechanisms for drought by rural communities in drought prone area of Maharashtra. Participatory investigation and livelihood analysis enabled to examine vulnerability of different group of population. The coping mechanism of individual households of a village is also examined in order to understand the individual’s response to stress situation. The existing government policies are examined in terms of overall drought resilience system. Mitigation measures and suggestions have been derived from people’s perception and study of existing conditions in the village. Based on the findings, policy suggestions and recommendations in this book are very important for a more effective drought management plan.