It is a method of doing some particular thing.
in Psychology, it describes solving problem in a step by step procedure that guarantees a result. The opposite of algorithym is heuristic.
A process or set of rules to be followed in calculations or other problem-solving operations, esp. by a computer.
An algorithm is a sequence of steps to provide the solution of a problem. in other words, it is a step by step solution to a problem.
An Algorithm is not actually part of the hard ware. An Algorithm is used in code as a set of commands for the software.