Normally I would post the resolution for this issue in the appropriate VSTS/TFS forum, but since posting there does not include pictures, here it goes.
Note: Error 29112 is a catch-all code. This blog post only handles one possible case. A blog that also mentions other causes for this error is Will Buffington's WebLog, and one TFS forum thread about it is Team Foundation Server - Installation Error 29112.
Microsoft Visual Studio 2008 Team Foundation Server Setup
Error 29112.Team Foundation Report Server Configuration: Either SQL Reporting Services is not properly configured, or the Reporting Services Web site could not be reached. Use the Reporting Services Configuration tool to confirm that SQL Reporting Services is configured properly and that the Reporting Service Web site can be reached, and then run the installation again. For more information, see the Team Foundation Installation Guide.
Right before this in the installation log was the following message:
"TFSUI:  wsschecker.exe : *** ERROR: Unauthorized access of sharepoint url http://xwyz/: The remote server returned an error: (401) Unauthorized."
Context: I was trying to install SSRS as part of a scale-out SSRS installation.
Troubleshooting steps: By looking at the Reporting Services Configuration Manager, I found out that there was probably some version mismatch.
The highlighted message in the picture says:
"You specified a connection to a report server database that contains encryption keys for another report server. If you are configuring a scale-out deployment, that feature is not supported by this edition of Reporting Services. If you want to use this report server database with the current report server instance, remove the existing encryption keys first."
I checked out and found out that the customer was using SQL Server Standard Edition on the TFS application tier, while the database tier already had SQL Server Enterprise edition.
From the documentation on Configuring a Report Server Scale-Out Deployment:
"The Reporting Services edition must be Enterprise, Developer, or Evaluation. Standard edition does not support a scale-out deployment. You can create a scale-out deployment using a combination of editions as long as the edition supports the scale-out feature."
So here was the issue. However, the TFS 2008 installation program does not details this and aborts with error 29112.
Resolution: I reinstalled the app tier SSRS with a SQL 2005 Enterprise version, and the installation was able to finish.
Our culture owes a lot to the influence of Newtonian mechanics in shaping the thinking in other areas, such as in Psychology with the notion of "energy". Even though this usage is obsolete within professional circles, the expression is still an active part of the popular culture.
The fabric of our thinking also has another Newtonian concept as a background: the mechanical "static equilibrium". We usually see stability in a way that is contradictory to what happens in life, where equilibrium is a delicate balancing of multiple forces woven in a dynamic exchange.
This cultural influence extends to ideas on project management. We tend to see projects as a collection of static endeavors where everything is predictable, punctuated in between with checkpoints at which some change might be added, in a predictable way, into the system.
I would rather refer to Heraclitus "everything changes" idea when thinking about project management. And that implies continuous adaptation, not just at staggered checkpoints or milestones.
Juggling has always been a great metaphor for project management, for although we don't think about it while watching their mesmerizing performance, jugglers are constantly adapting to where the balls go. Even though they kind of have an idea of a ball's trajectory through their experience, their greatest skill is going after it in the nick of time.
The following video by Fatboy Slim is a homage to adaptive project managers of all times, from Heraclitus to Agilistas today, with eyes on the ball and ears on the rhythm. Enjoy...