Equivalent simple pendulum:
We know that the time period of oscillation of a compound pendulum is
\displaystyle{T=2\pi\sqrt{\frac{K^2+l^2}{gl}}}\tag{1}
[ To know the derivation of this equation (CLICK HERE) ]
where, g is the acceleration due to gravity, l is the distance between the centre of gravity G and point O , K is the radius of gyration.

If L be the length of the simple pendulum then the time period of oscillation of the simple pendulum is given by
\displaystyle{T=2\pi\sqrt{\frac{L}{g}}}\tag{2}
From equations (1) & (2) we get
\displaystyle{L=\frac{K^2+l^2}{l}}
or, \displaystyle{L=\frac{MK^2+Ml^2}{Ml}}
or, \displaystyle{L=\frac{I}{Ml}}
Where, I is the moment of inertia of the compound pendulum about an axis through the point O.
So L which is represented by OO’, is the length of the simple pendulum, equivalent to the compound pendulum.
O is called centre of suspension and O’ is called the centre of oscillation.