THE PROPOSED METHOD ENTAILS THE CONSTRUCTION OF TWO INDEXES--ONE, USING THE VARIABLES AND WEIGHTS CHOSEN BY THE CHIEF POLICE ADMINISTRATOR (THE ADMINISTRATION INDEX) AND A SECOND TO BE USED FOR INTERAGENCY COMPARISON WHOSE VIABLES ARE SELECTED BY AN OBSERVER OUTSIDE THE POLICE AGENCY (PERFORMANCE INDEX). THE CONSTRUCTION OF OUTPUT INDEXES HAS FOUR STAGES: (1) THE SELECTION OF A NUMBER OF MEASURABLE POLICE ACTIVITIES; (2) THE ASSIGNMENT OF WEIGHTS TO ACTIVITIES ACCORDING TO SUBJECTIVELY DETERMINED PRIORITIES; (3) THE COMPILATION OF DATA FOR MEASURING EACH ACTIVITY; AND (4) RECALCULATING THE INDEX, ADJUSTING FOR VARIABLE SENSITIVITY TO CHANGES. THE DERIVED OUTPUT INDEXES CAN BE USED BY POLICE AGENCIES TO GAUGE THE PRODUCTIVITY RESULTING FROM DIFFERENT INPUTS, AND OUTSIDE EVALUATORS CAN USE THE PERFORMANCE INDEXES TO MEASURE RELATIVE EFFICIENCIES BETWEEN AGENCIES. MATHEMATICAL EQUATIONS, FOOTNOTES, AND REFERENCES ARE PROVIDED. (RCB)