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Processes need resources .
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When multiple processes are running concurrently , These resources are to be shared between them , resources like CPU time , Disk space , memory and network .
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Kernel handles these tasks and acts as a resource manager
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Applications just have connection with the kernel , which in turn interacts with the hardware are services to the applications
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Kernel acts as abstract layer for the applications , i,e applications need not take care of inner implementations , application just need to bother about giving a call to kernel which takes care of everything .
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Linux is a multitasking system where it appears that multiple processes are executing concurrently.Each of these processes are given an illusion that CPU is available to them all the time.But in reality kernel switches b/w the processes at short internals to give these processes the illusion of simultaneous processing.The process is called as task switching and the Scheduler of the Kernel is in charge of this duty.