Installing TFS Power Tools with PowerShell 1.0

This is not really related to TFS, but I need a place to write it down and my TFS blog felt like the best place. So we could install TFS Power Tools on our application tier we had to install Power Shell 1.0. Unfortunately when we tried to install PowerShell but got the error listed below.

0.313: 2007/12/27 10:42:01.209 (local)
0.328: d:\4dd898e4a95d73bd5cfec8a50379\update\update.exe (version 6.2.29.0)
0.344: Failed To Enable SE_BACKUP_PRIVILEGE
0.344: Setup encountered an error: You do not have permission to update Windows Server 2003.
Please contact your system administrator.
0.359: You do not have permission to update Windows Server 2003.
Please contact your system administrator.
68.000: Message displayed to the user: You do not have permission to update Windows Server 2003.
Please contact your system administrator.
68.000: User Input: OK
68.000: Update.exe extended error code = 0xf004
68.000: Update.exe return code was masked to 0x643 for MSI custom action compliance.

I found this article from Microsoft. It looks like the machine's group policies were a bit out of whack. We fixed them by going to Start > Run > gpedit.msc and following the steps listed out in the article above I was able to add machine-name\Administrators to the "Back up files and directories" policy, "Restore Files and Directories" policy.

After a reboot we were able to install PowerShell 1.0 and TFS Power Tools.