Welcome to the forums!
The Environment is where all audio and MIDI connections are made in Logic. It's like an old style studio where you had to patch/cable mixing desks, tracks, etc together is done. Of course, you can do much, much more (which is why many Logic users love it so much).
You don't have to use it. In fact in Logic 8, you can create tracks and assign them to various tasks without needing to delve into the underbelly of Logic ;-)
In short, making music in Logic does now need the Environment.
However, every DAW has an "environment". Logic gives you amazing access whereas others don't. Using the Environment doesn't need to be scary - sure it can seem intimidating at first, but I'd urge every Logic user to explore it a little...
What can the Environment do for your music?
A few examples:
â€¢ Use Logic's arpeggiator (can be as simple as creating a new arp, cabling it to a SI channel strip, creating a track in the Arrange for the Arp and pressing play!)
â€¢ Transform MIDI events in real time.
â€¢ Setup a chord memorizer so you can play complex chords with one finger.
â€¢ randomize a plug-ins parameters in real-time:
â€¢ give you control over your MIDI instruments
â€¢ give you imense control over your virtual instruments and change the way you make music.
â€¢ create delay lines...
(this is just the short -late night- version)
If you're interested in the Environment, check out Steve H's Logic 303: TNT 1 & 2 - there is much joy to be had in the environment.
If you have any further questions, let me know :-)