Watershed management consists of multifunctional activities to manage and address the increasing water resource problems. Ever increasing water demand and rapidly depleting water resources, it has become necessary to develop the adaptation options to recharge groundwater resources. A watershed is a special kind of Common Pool Resources (CPRs); an area is defined by hydrological linkages where optimal management requires coordinating the use of natural resources by public participation. Watershed developments have shown significant positive impacts on water table, perennially of water in wells and water availability especially in semi-arid regions. This paper describes direct and indirect impacts of the watershed activities and benefits of hydrological services dealing with watershed management with future prediction of net irrigation water supply. In the present work, we have also discussed the multiple impacts of watershed of CPRs for improving groundwater and surface water resources.