IntroductionThe introduction of the new payroll system comprising two interface systems SAP and Workbrain in Queensland Health (QH) led to major problems which resulted in financial losses to the system. The new payroll and filing system is one of the projects of the Corporate Solutions program, launched on March 14, 2010, and managed by CorpTech (whose main contact was IBM). Previously, QH had been using the LATTICE and ESP payroll systems since 1997, which had to be replaced as it was recognized that they would no longer be supported by its supplier from July 2008. The various reasons for the failure of this payroll system include complex award structures, vague governance structure for system implementation, inadequate documentation of business requirements at the start of the project, additional time required to achieve Go-Live status, lack of periodic review of business needs, system and process testing before Go-Live. Live had not identified a number of significant implementation risks, critical business readiness activities and practices were not fully developed, business continuity plans were not available for implementation worked to resolve payroll issues as they arose, key system performance reports intended for use by CorpTech were unavailable. During the completion of initial payroll processing, several changes to payroll administration practices were introduced in conjunction with the release of the SAP and WorkBrain systems. The audit said the project failure was due to project governance, and that management of relationships with key stakeholders was not effective in ensuring that roles and responsibilities were clearly articulated and that the agreement was clear. .....ect due to lack of support, customer and employee dissatisfaction, which negatively impacts the effectiveness, efficiency, flexibility and competitiveness of a business as a whole (Ho & Fung, 1994). From the failure of this project, there will be future costs, the total amount of which is estimated at $1,253.5 million, which is divided into parts. The first is $416.6 million which is expected to be spent by the end of fiscal year 2012 and the sum of $836.9 million is expected to be spent in fiscal years 2013 and 2017.1 The cost of the project is immediate nature, particularly as the cost of health services continually increases. Additionally, the system failure affected Queensland Health employees. Many continued to be underpaid or overpaid for more than two years after the system was implemented..