herumlaufen
to walk around
To move around on foot without a specific goal or clear intention.
Die Kinder liefen den ganzen Nachmittag fröhlich im Garten herum.
The children walked around happily in the garden all afternoon.

to walk around / go around
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to walk around
To move around on foot without a specific goal or clear intention.
Die Kinder liefen den ganzen Nachmittag fröhlich im Garten herum.
The children walked around happily in the garden all afternoon.

'Herumlaufen' (to walk around / go around) is a separable verb. The prefix 'herum-' comes at the end in a main clause, but stays attached to the verb in a subordinate clause.
Lauf nicht den ganzen Tag im Haus herum!
Don't walk around the house all day!
The prefix 'herum-' often describes movement without a clear goal or movement in a circle. It can also express that an action continues for a longer period of time.
Die Katze läuft schon seit einer Stunde im Wohnzimmer herum.
The cat has been walking around the living room for an hour already.
When 'herumlaufen' (to go around) describes clothing, it is almost always followed by a preposition such as 'in' or 'mit' that names the item of clothing. Without this detail, the meaning 'to walk around aimlessly' is assumed.
Er läuft oft mit einem lustigen Hut herum.
He often goes around with a funny hat on.
In the figurative meaning, 'herumlaufen' (to go around) is used with impersonal or abstract subjects such as 'das Gerücht' (the rumor), 'eine Geschichte' (a story), or 'die Nachricht' (the news).
In der Firma läuft die Geschichte herum, dass ein neuer Chef kommt.
A story is going around at the company that a new boss is coming.
to handle / avoid / circulate
'umgehen' and 'herumlaufen' can both describe a rumor or a piece of news spreading. In this sense, 'umgehen' is very typical for rumors, illnesses, or warnings: something is going around in a group or in a place. With news and rumors, 'herumlaufen' sounds a bit more colloquial and figurative, as if the information is popping up everywhere. They can be confused because both have to do with movement. The important point is: this is not about actual walking, but about spreading. For rumors, 'umgehen' is often the more neutral choice.

Nach dem Gespräch lief plötzlich eine falsche Nachricht im ganzen Haus herum.
After the conversation, a false piece of news suddenly started going around the whole building.
Bei der Arbeit geht das Gerücht um, dass die Abteilung umzieht.
At work, a rumor is going around that the department is moving.