I am reading this datasheet and there are some graphs that says (Normalized) on one of it's axis...what is this?
Normalization in the simplest case, means adjusting values measured on different scales to a notionally common scale, often prior to averaging.
In your case, the manufacturer is just showing you how Rds,on varies over temperature relative to its value at 25degC.
You should notice that y=1 for x=25. You can then infer that the resistance in the channel will increase 20% if the temperature rises to 100degC.
I think you are talking about the Normalized Drain-to-Source On Resistance vs. Junction Temperature graph on page 3?
If so, normalized means that it is a ratio compared to the on resistance at 25C (notice how it crosses 1 at 25C). So at 100C it is 1.2, i.e. the resistance is 1.2x greater than that at 25C.
A bit confusing I know, it would make more sense it mentioned ratio or something like that, but then again, that is what normalized means.