The Performance monitor is used to provide metrics and statistics on how your computer is doing over a long period of time. Things like disk, memory, CPU utilization can be monitored.
Performance Monitor can also be used for alerts. You can set an alert so that if a particular value is reached, it can send an alert or perform an automated action.
The Performance Monitor allows you to store statics to analyze long term trends and build reports to view data.
The Performance Monitor is accessed within the Control Panel under Administrative Tools.