Teff (Eragrostis tef) is now being considered as an excellent climate-resilient crop much better suited to drought-prone, low-input, and rainfed agroecosystems that are under increasing climatic variability. The impact of global warming, unpredictable precipitation, and escalating water shortages pose a risk to food systems that rely on cereals, especially smallholder farming. This necessitates combined approach should be undertaken for climate change adaptation and water management. The chapter purpose is to summarize the existing information about the physiological, agronomic, and technological adaptation of teff to water and climate stress with the focus on water resource management and resilience-farming strategies. The chapter uses a synthesis type approach, which incorporates experimental data, crop modelling (Food and Agriculture Organization Aqua Crop model, the Decision Support System for Agro technology Transfer and Agricultural Production Systems Simulator) and application of a remote sensing, and case studies of various agro ecological locations. Major points have been examined as the soil-plant-atmosphere interactions, phenological sensitivity, water-use efficiency, yield stability and digital decision-support tools. Field and case studies indicated that near optimum water supply and water management enhanced teff yield and water productivity. Trained farmers were able to gain productivity by a maximum of 22%. Seasonal coefficients of crop were 0.8–1.0 (initial), 0.95–1.1 (mid-season), and 0.4–0.5 (late season), and yield response factor (KY) was 1.04 which was very sensitive to water stress. The simulated FAO Aqua Crop model showed that the additional irrigation of up to 95 mm post-flowering enhanced the grain-water use efficiency but reduces the biomass-water use efficiency. The results show that the scheduling of irrigation and optimization of water management play important roles in improving the productivity and water use efficiency of teff.