SDM upgrade fails with an error "SDM Migration failed with exitCode:2"

Document ID : KB000121544
Last Modified Date : 12/12/2018
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Question:
When Service Desk Manager (SDM) is upgraded to r17.1, the upgrade fails and the following error is written in install.log.

2018/11/20 14.47.15.434 DEBUG [stdout( D:\CA\SERVIC~1\bin\pdm_perl.exe):Thread-37] [MigrateSDM] ERROR: failed to open D:/CA/SERVIC~1/pdmconf/prev_version 
2018/11/20 14.47.15.700 INFO [DeployThread: Migrating CA Service Desk Manager] [ActiveProcessHolder] Exit Monitor. Process ID (PID): 5576 
2018/11/20 14.47.15.700 INFO [DeployThread: Migrating CA Service Desk Manager] [ProcessUtilities] Process D:\CA\SERVIC~1\bin\pdm_perl.exe completed with exit code 2 
Answer:
The error is likely to be caused by the following.

1. 8dot3 file name creation has not been enabled.

Please ensure that the Windows 8.3 file notation has been enabled as per the following document.
Software Requirements > CA Service Desk Manager Requirements > 8dot3 name creation

2. Lack of disk space
There is no enough disk space on a HDD where the SDM and temporarily folders are located. 
Additional Information:
Unable to Install Any Options in CA SDM and Option Status Remains as 'In Progress'