Capital management refers to the strategic management of a company's financial resources to optimize the balance between risk and return. Short-term capital management involves the management of a company's short-term financial obligations, typically those due within a year or less. This includes managing working capital, which involves managing cash, accounts receivable, and inventory levels to ensure that a company has enough cash to meet its short-term obligations.

On the other hand, long-term capital management involves managing a company's long-term financial obligations, typically those due in more than one year. This includes managing a company's capital structure, which involves determining the optimal mix of debt and equity financing to fund the company's long-term growth and investment plans.

Short-term capital management is focused on maintaining the liquidity and solvency of the company, while long-term capital management is focused on creating sustainable growth and maximizing shareholder value over the long term. Both short-term and long-term capital management are essential for a company's success and require careful planning, analysis, and execution.