The last few years much use is being made of so-called indication systems to map the development of neighbourhoods. It is hoped that these systems quickly bring possible livability problems to light, so that people can intervene in accordance with policy. In this article the advantages and pitfalls of such an indication system are gone into. Such a system has to take into account the fact that the development of neighbourhoods does not have a fixed pattern. Furthermore the much-used objective indicators often do not mesh with the subjective perception of residents and the appraisal processes of professionals. Also much more consideration will have to be given to social characteristics, which in our day have become increasingly more determining for the livability of neighbourhoods. It is also important that the action of managers be part of a characterization of neighbourhoods. It is being argued that an indication system cannot be confined to registering indicators and other data, for it has to directly contribute to policy interventions. That is why a good indication system takes both facts and creation of an image into account, as well as livability characteristics and the considerations of residents and managers. In a few brief concluding observations, the different functions an indication system can have as a policy instrument are gone into.
