This document provides a guide for constructing and using composite indicators. It aims to contribute to a better understanding of composite indicators and improve techniques for building them. The handbook contains guidelines to help construct composite indicators that compare and rank country performance in areas such as competitiveness and innovation. It outlines steps for developing a theoretical framework, selecting variables, handling missing data, conducting multivariate analysis, normalizing data, weighting variables, testing robustness, and presenting results. The handbook also establishes a quality framework for assessing composite indicators.
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Handbook on Constructing Composite Indicators
METHODOLOGY AND USER GUIDE
This Handbook is a guide for constructing and using composite indicators for policy makers,
academics, the media and other interested parties. While there are several types of composite
indicators, this Handbook is concerned with those which compare and rank country performance in
areas such as industrial competitiveness, sustainable development, globalisation and innovation. The
Handbook aims to contribute to a better understanding of the complexity of composite indicators and
to an improvement of the techniques currently used to build them. In particular, it contains a set of
technical guidelines that can help constructors of composite indicators to improve the quality of their
outputs.
Handbook on Constructing Composite Indicators
METHODOLOGY AND USER GUIDE
Subscribers to this printed periodical are entitled to free online access. If you do not yet have online access via your
institution’s network, contact your librarian or, if you subscribe personally, send an email to SourceOECD@oecd.org.
ISBN 978-92-64-04345-9
30 2008 25 1 P
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Handbook
on Constructing
Composite
Indicators
METHODOLOGY
AND USER GUIDE