lsm.exe is a application which is probably legit. So, if lsm.exe is on your PC, it is probably ok, and will NOT cause problems. Even if your PC is virus-free, it is still recommended to use a good antivirus with a good track record, in order to defend your system against threats.
Usually, this application is found in C:\Windows\System32\lsm.exe.
The MD5 fingerprint for this executable is 8aea9a37c1a3565a204d37c5e72ab791.
This application does NOT operate as a Windows service. This is usually a good sign.
lsm.exe seems to have something to do with Windows SFC (System File Checker) or Windows File Protection.
This application runs as a 32-bit program. It does not use the full power of nowadays' PC CPUs. This ordinarily happens because the publishers did not bother to upgrade it to 64-bit code.
The description present in the program is Local Session Manager Service.
File version 6.1.7601.17514 (win7sp1_rtm.101119-1850).
Producer Microsoft Corporation.
Intellectual property rights notice © Microsoft Corporation. All rights reserved..
lsm.exe is digitally signed. Nowadays the large majority of serious programs are digitally signed.
The digital signature extracted from lsm.exe is valid. This is most likely a clean, ok program.
Digitally signed by: Microsoft Windows
Certificate's issuer name: Microsoft Windows Verification PCA
This application does NOT have an uninstall command set up in registry.