Air conditioners work by taking in indoor air and passing it over cold copper coils filled with refrigerant. This reduces the temperature of the air, and causes the humidity in the air to bead up on the coils in the form of condensation. The condensation is drained outside the home, and the heat from the air is absorbed by the refrigerant inside the coils. The refrigerant is then pumped outside, where the heat is dispersed.
In a window air conditioner, the coils containing absorbed heat from inside the home are in relatively close proximity to the cold coils that are cooling the air to be returned to your home. As such, there is a wall of insulation between the portion of the coils that remain cold, and the portion that heat is dispersed from. Consequently, the coils on the outside portion of your air conditioner are hot, while those inside are cold.
A central air conditioner is essentially just a large window air conditioner that has the cold and hot coils separated by a larger distance. Refrigerant is therefore pumped from inside your home, typically in your attic, all the way to your outside compressor. There the heat from inside your home is dispersed by a large fan that cools the coils before returning the refrigerant back in to your home.
The outside portion of your window or central air conditioning system, the hot side of the coil system, is integral to your air conditioning system. Ensure the area surrounding the window air conditioner or central air conditioning compressor is kept free from obstructions that could restrict air flow. This includes covers and decorative fencing.