In order to locate malfunction in a communication network, the elements therein are configured for generating alarm and to propagate a malfunction signalling to at least one other element in said set. Those elements in the network to which the malfunction signalling was propagated, are excluded, preferably by way of self-exclusion, from the action of locating malfunction. Preferably the arrangement is implemented in the form of a distributed agent-based architecture, wherein each element has an associated agent for categorizing the alarm information in its possession, e.g., as related to internal malfunction, contiguous malfunction, and external malfunction. The categorized alarm information is collected, preferably via direct exchange between the associated agents, for all the elements having alarmed resources physically or logically connected with each other. On the basis of the categorized alarm information collected, at least one element responsible for malfunction is elected out of those elements in possession of alarm information categorized as related to internal malfunction or contiguous malfunction, while discarding those elements in possession only of alarm information categorized as related to external malfunction.