The most common and most likely answer to this crossword clue is the 7 letter word BARKING
I've seen this crossword clue in Financial Times
B
A
R
K
I
N
G
More clues leading to the result BARKING
- Cuckoo making beastly noise
- Don't allow man up the pole
- Sound of dogs in East London location
- Mad Ds? They might be
- Cuckoo impersonating a dog?
- Cuckoo behaving like a dog?
- Save monarch -- like George III?
- Out to lunch — as setter might be?
- Man after pub nuts
- What Battersea resident may be doing in London suburb …
Buddy explains!

The straight part
We know that "Mad" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case mad = barking.The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.
What does BARKING mean?
BARKING verb- To make a short, loud, explosive noise with the vocal organs (said of animals, especially dogs).
- To make a clamor; to make importunate outcries.
- To speak sharply.
- To strip the bark from; to peel.
- To abrade or rub off any outer covering from.
- To girdle.
- To cover or inclose with bark, or as with bark.
- Who or that barks or bark.
- Completely insane.
- The action of the verb to bark.