Cognos Error: CAM-AAA-0198

When trying to logon to Cognos Connection with a new configured Series 7 namespace the following error appears
CAM-AAA-0198 Failed to initialize the Series 7 session with errorCode -125

The SUN ONE directory server namespace is not configured. ie the schema is not yet created by Cognos Series 7 Access Manager.

Open Cognos Series 7 configuration manager and create schema for namespace
1. Services - “Access Manager - Directory Server” - General
2. Provide correct connection credentials for the Series 7 namespace
3. Set option “Are you sure you want to configure this directory server?” to "YES"
4. apply these settings and a schema with a administrator schema is created.