Grunt is a task runner that can be used to automate repetitive tasks like minification, compilation, unit testing, and linting. It uses plugins, or tasks, that are run from a Gruntfile configuration. Common tasks include concatenating files, compiling LESS/Sass to CSS, linting JavaScript, optimizing images, and more. Tasks can be combined and customized to set up efficient development and production build processes. Grunt runs tasks defined in the Gruntfile configuration to minimize assets, concatenate files, reduce requests, and optimize the final code and assets that are delivered to users.