The document is divided into two parts. The first part titled as General Guidance, describes the background, source materials and principles of performance and outcome indicators, key definitions, elements of risk reduction, and the concept of the resilient community. The second part, titled as 'Guidelines for good practice in community-based disaster risk management', is divided into two sections. The first section is about Process Indicators, while the second is about Outcome Indicators. The Process Indicators discuss six process steps in the implementation of CBDRM programs and projects. For each process step, i) aim, ii) steps in this process, iii) key outcome indicators, and vi) guidance notes to implement CBDRM are discussed. The purpose of the first section is to describe the essential elements of a good CBDRM process. The purpose of the second section is to discuss the expected outcomes of a good CBDRM process. The Outcomes are about institutional arrangements and product outputs that a CBDRM program/project must endeavor to establish in the local community in order to ensure the continuity of community initiatives for disaster risk reduction after the completion of externally sponsored development initiatives. These Outcome Indicators can also serve as markers to gauge the success of an externally supported CBDRM process in developing capacity of local community to achieve sustainable development. If an externally supported process was able to establish the institutional arrangements described in the outcome indicators, that initiative could be described as a successful initiative, an otherwise assessment would mean more efforts were required to develop community capacity.