# Updating Financial Contingency in Execution of Typologically Diverse Construction Projects
## 4 Summary and Discussion
The group of hotel buildings (H) is characterized by having the largest number of projects that exceeded the 3% financial contingency. The lowest recorded whiskker value and the bottom value of the Q1 box were 0.72 and 0.85, respectively, indicating the wide \begin{table}
\begin{tabular}{c c c c c c} \hline \hline
**Category** & \begin{tabular}{c} **Topological** \\ **Group** \\ \end{tabular} & \begin{tabular}{c} **Bottom Whisker** \\ **Value** \\ \end{tabular} & \begin{tabular}{c} **Quartile Q1** \\ **Median** \\ \end{tabular} & \
\begin{tabular}{c} **Quartile Q3** \\ **Value** \\ \end{tabular} &
\begin{tabular}{c} **Top Whisker** \\ **Value** \\ \end{tabular} \\ \hline M & Residential buildings & 0.96 & 0.98 & 1.00 & 1.03 \\ O & Office buildings & 0.95 & 0.95 & 1.04 & 1.06 \\ H & Hotels & 0.72 & 0.85 & 0.98 & 1.04 \\ G & Shopping centres & 0.86 & 0.97 & 1.12 & 1.14 \\ L & Logistics centres & 0.98 & 0.99 & 1.02 & 1.08 \\ \hline \hline \end{tabular}  
* The minimum values included in Table 3 reflect the largest cost overspending against planned values in each of the analyzed typological groups. The maximum values indicate deviations of the actual cost in the direction of savings.  
\end{table} 
Table 2: Summary of selected values of CPI cost deviations in each typological group for projects in which the financial contingency was exceeded. range of CPI values in this group of projects. Therefore, for this group of construction projects, it is recommended that the financial contingency be increased to as much as 30% of the cost of the entire investment. This will ensure secure financing for a group of projects that are characterized by frequent changes in scope during the implementation stage. In the group that includes shopping centres (G), a wide variation was observed in the course of individual projects. Approximately 30% of the projects had overruns exceeding the 3% financial contingency. The value of the lower whisker was 0.86, which means that the planned cost was exceeded by about 26%. Accordingly, the financial contingency is recommended to be increased to 25% for this group as well. The values of the financial contingency recommended for hotel buildings (H) and shopping centres (G) are due to the high susceptibility of the projects included in these groups to changes in scope during their course, which is clearly visible in the box plots in the form of high box heights and high whisker lengths. The main reason for such a wide range of cost deviation and linked financial contingency is the huge input of investors' own technology, like branding, common areas, lobbies, halls, malls, etc., which is prone to follow the tastes of customers. Investments belonging to the logistics centres group (L) did not show cost overspending that would result in exceeding the financial contingency set by the bank. The majority of projects showed no cost deviations, while one project showed significant deviations in CPI values. However, this did not result in exceeding the level of 0.97. Therefore, it is recommended to maintain the financial contingency at the current level. The proposed financial contingency level for each group of facilities is included in tabular form (Table 4). Using a tool in the form of box plots, cost deviations from the planned value were analyzed. The study was conducted for each of the identified groups of facilities to determine the level of acceptable deviation within the financial contingency range. As a result, an increase in the financial contingency was recommended to guarantee the safe completion of investments in the event of cost overruns in selected groups of construction projects. A cost overrun is a situation in which the actual cost of implementing a construction project is higher than the planned cost. Most authors have argued that in most construction projects, actual costs increase similarly to planned costs [13; 31] and this phenomenon has become almost a natural part of construction projects.