Indices are efficiently utilized in pollution evaluation of water resources, and their application depends on the purpose and objectives to which they are intended for. Besides pollution monitoring of water resources, creation of indices may cover trend analysis and enforcement of standards.
If you want to develop an index to answer or solve your research problem, you need to follow the sequence below;
1- Identify and select the relevant parameters as a good candidates for the index.
2- Calculate the subindex of each parameter.
3- Assign weightage (Priority or importance) to the selected parameters.
4- Aggregate the subindex and weightage to get the overall index which can be used practically to classify the water for various uses.
Find the attached publication and links for more references;
Article Development of river water quality indices—a review
Article Estimation of heavy metals in drinking water and development...
Article Water quality evaluation by index in Dalmatia
Article Development of a water quality index (WQI) for the Loktak La...
For the calculation of WQI, You should read Tasneem Abbasi book( Water quality Indices). The attached paper will also help you in the calculation of WQI and HPI.