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Case Study #151 — 309 Software Failure Events Timeline

New Zealand Novopay teacher payroll failure

A new payroll system for New Zealand's roughly 110,000 state school teachers caused widespread under- and overpayments, leaving many teachers unpaid or incorrectly paid for months and ultimately costing well over NZD 45 million to fix.

2012
When it happened
Government
Sector
#151 of 309
Ranked by documented impact
01 — What Happened

The damage was public. The root cause was preventable.

A new payroll system for New Zealand's roughly 110,000 state school teachers caused widespread under- and overpayments, leaving many teachers unpaid or incorrectly paid for months and ultimately costing well over NZD 45 million to fix.

Government
Sector affected
2012
Date of the event
#151
Rank in the 309 Software Failure Events Timeline
2
Distinct root-cause clauses identified below
02 — The Root Cause

What the software actually got wrong

The Novopay software was rolled out without sufficient testing against New Zealand's complex, variable teacher pay and leave rules, and the system's error-handling could not keep pace with the volume of payroll discrepancies once it went live.

01Root Cause

The Novopay software was rolled out without sufficient testing...

What Happened

The Novopay software was rolled out without sufficient testing against New Zealand's complex, variable teacher pay and leave rules

How Requs AI Catches This

Requs AI Edge Case flags this exact pattern at the requirements and architecture stage — before a single line of code implementing it exists — so the assumption behind it gets challenged while it is still cheap to fix.

02Root Cause

The system's error-handling could not keep pace with the...

What Happened

the system's error-handling could not keep pace with the volume of payroll discrepancies once it went live

How Requs AI Catches This

Requs AI Software FMEA traces this failure mode back to the system-level hazard it feeds, tagging it against the Common Defect Enumeration so it surfaces in review instead of in the field.

03 — How This Gets Caught Before It Happens

Beyond code coverage and "shall" testing

Root causes like this one rarely show up in code coverage or requirements-compliance testing, because nobody wrote a requirement anticipating the specific edge case that broke. Requs AI Edge Case and Requs AI Software FMEA are built to surface exactly this class of overlooked failure mode — before the software is written.

Requs AI Edge Case

Surfaces this before code exists

Identifies edge cases like this one at requirements and architecture time, using the Common Defect Enumeration to catalog failure patterns seen across hundreds of real-world software failures — including this one.

Requs AI Software FMEA

Connects the failure mode to the hazard

Traces this class of root cause directly to the system-level hazard it can produce, so a defect pattern like this one gets flagged during design review instead of after it ships.

Find the overlooked root causes before they ship.

Schedule a demonstration, or explore how Requs AI Edge Case and Software FMEA use the Common Defect Enumeration.