The objective of this paper is to highlights the District Metered Areas (DMAs) formation in water distribution networks with focus on critical study of design and optimization techniques used in DMA formation. DMAs are crucial way for reducing water loss, increasing system effectiveness, and boosting water security. To reduce water loss and improve DMAs, the study analyzes several approaches, including machine learning, multi-criteria decision analysis and graph theory-based approaches. The advantages of DMAs for network sustainability and performance are emphasized, while the difficulties in implementing them are acknowledged. The research highlights the potential for DMAs and cutting-edge optimization methods to transform the management of water distribution networks.