NROM is one of the emerging non-volatile-memory technologies, which is promising for replacing current floating-gate-based non-volatile memory such as flash memory. In order to raise the fabrication yield and enhance its reliability, a novel test and repair flow is proposed in this paper. Instead of the conventional fault replacement techniques, a novel fault masking technique is also exploited by considering the logical effects of physical defects when the customer's code is to be programmed. In order to maximize the possibilities of fault masking, a novel data inversion technique is proposed. The corresponding BIST architectures are also presented. According to experimental results, the repair rate and fabrication yield can be improved significantly. Moreover, the incurred hardware overhead is almost negligible.