Dams have become a very important infrastructure that provides enormous benefits to the economy of the country. Even though dams are very important and significant structures within a country, their breaks can cause severe damage to the country’s economy, society, and environment. Other than that, it can be impacted human life by causing deaths. As a come-up strategy, early warning systems can be used to reduce the severe impacts of dam breaks. Early warning systems (EWS) have been identified as a very important tool used to save lives and properties from disasters. Hence, this paper attempts to identify the functional characteristics of an EWS that can be used to reduce the impacts of dam breaks in Sri Lanka. An extensive literature survey was conducted to achieve the primary objective of this paper. Accordingly, the paper has identified the major purposes of dams, the causes for the dam breaks, and the impacts of dam breaks on the economy, society, and the environment. Then, the paper explores the functional characteristics of the EWS which is used for dam breaks. Finally, a conceptual framework has been developed with the key literature findings of the paper in order to minimise the social, economic, and environmental impacts created by dam breaks using early warning systems in Sri Lanka. As such, this paper will be a value addition to support the country’s economy, society, as well as environment.