Simple Network Management Protocol (SNMP) is an application layer protocol used for managing and monitoring network devices such as switches and printers. SNMP consists of managed devices, software agents, and network management systems, and utilizes various data units for communication, including traps which alert managers about significant events. While SNMP versions 1, 2c, and 3 exist with different functionalities, limitations include lack of confirmation for trap receipt and incompatibility with other protocols.