I received this error when I was trying to configure the outlook client for CRM 4.0. It seems that the user had first installed the CRM 2011 client and removed this one to install the 4.0 client.
Uninstalling the CRM 2011 client however leaves some 5.0 files on the machine, causing the 4.0 config to crash.
To resolve this issue according to Microsoft KB follow these steps:
1. Navigate to C:\Program Files\Microsoft Dynamics CRM\Client\ConfigWizard directory or C:\Program Files (x86)\Microsoft Dynamics CRM\Client\ConfigWizard directory.
2. Delete the CRMForOutlookInstaller.exe file.
3. Do one of the following options:
- Replace the CRMForOutlookInstaller.exe from the 4.0 client install bits.
- Run a repair on the Dynamics CRM 4.0 Client for Microsoft Office Outlook installation.
4. Run the Configuration Wizard.