Permissions on the folders (give users read and execute) and the “create global objects” security setting are the problem. Instructions to fix:
To resolve this issue, identify the users group that is used to run the program, and then assign the “Create global objects” user right to that users group. To do this, follow these steps:
1. Click Start, point to Programs, point to Administrative Tools, and then click Local Security Policy.
2. Expand Local Policies, and then click User Rights Assignment.
3. In the right pane, double-click Create global objects.
4. In the Local Security Policy Setting dialog box, click Add.
5. In the Select Users or Group dialog box, click local users group or the user account that you want to add, click Add, and then click OK.
6. Click OK.
Other reference points:
[b]Microsoft Knowledgebase Article[/b]: 821546
[b]Oracle Metalink Article[/b]: Doc ID: Note:342226.1 Subject: Starting SQL*Plus with Non-Administrator Account Fails with SP2-1503 SP2-0152