This was a bug we where facing in the actual installation of System Center Orchestrator 2012 beta.
The build in activity to send emails from within a runbook didn’t store its settings.
So the runbook failed.
The error was caused by a wrong collation.
The sql server 2008 R2 was set up with SQL_Latin1_General as collation.
As a requirement, System Center Orchestrator needs SQL_Latin1_General_CP1_CI_AS as collation.
So we had to reinstall the sql server with the correct setting and everything was correct.
A Senior Support Escalation Engineer from Microsoft wrote us about that bug:
We actually force SQL_Latin1_General_CP1_CI_AS as we write our schema entries (as does SCOM) but having the alternate collation would have some impact in terms of temp table usage and such.
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SCAPaoT » SQL collation Requirement in System Center Orchestrator 2012 beta
August 8th, 2011 08:26 PM
[...] where faced with an error in the Send Email Activity, caused by wrong [...]