Algorithm design is the process of creating a step-by-step procedure or formula for solving a specific problem. It involves defining the problem clearly, determining the best approach to solve it, and outlining the sequence of operations needed to achieve the desired outcome. Good algorithm design ensures efficiency and effectiveness in problem-solving. In computer science, algorithms are essential for tasks ranging from sorting data to searching for information. Designers must consider factors like time complexity and space complexity to optimize performance. Well-designed algorithms can significantly improve the speed and resource usage of software applications, making them more efficient and user-friendly.