The hearing mechanism is a complicated system. Sound is generated by a source that sends out air pressure or power. The pressure or power makes the sound waves. These waves reach the eardrum, or tympanic membrane, which vibrates at a rate and magnitude proportional to the nature of the sound waves. The tympanic membrane transforms this vibration into the mechanical energy in the middle ear, which in turn converts it to the hydraulic energy in the fluid of the inner ear. The hydraulic energy stimulates the sensory cells of the inner ear which send neuroelectrical impulses to the central auditory nervous system. The passive perception of auditory information starts just here. The listener gives attention to the speech sound, differentiates the sound from background noise, and integrates his experience with similar sounds. The listener then puts all of these aspects of audition into the context of the moment to identify the nature of sound. This has a major role in human communication. This paper provides an overview of the nature and characteristics of sound, the structure and function of the auditory system, and the way in which sound is processed by the auditory system.