Although there are fundamental linkages, and complementarities exist, between vulnerability reduction and resilience building of communities, recent policy and programming has focused more on the latter. This paper argues that reducing the underlying causes of vulnerabilities and their interactions with resilience elements is a prerequisite for obtaining resilience capabilities. The study outlines a method for measuring community resilience capabilities using process and outcome indicators in 43 coastal communities in Indonesia. An index was developed using ten process and 25 outcome indicators, selected on the basis of the ten steps of the Integrated Community Based Risk Reduction (ICBRR) process; key characteristics of disaster resilient communities were taken from various literatures. The study shows that community resiliency can be measured, but any such measurement must be both location- and hazard-specific.