RMS does not include sub-report support for Crystal Reports. For that reason you must run this style of Crystal Report on the RMS database server, not a workstation.
In addition, make sure you enter (local) for the server name in Administrator, File, Configuration on the server. You cannot use the servername or IP address.
Go to Store Operations Administrator, File, Configuration and make sure that "Server name:" is set to "(local)". Click Test Database to ensure the new setting works, then click OK, OK, and exit Administrator. Next restart Manager and try the report again.
Server name: (local)
User name: sa
Connection timeout: 30
If (local) is not accepted, it means you did not install the local instance of SQL Server when RMS was installed. You will need to reinstall RMS and SQL Server using the default settings.
The alternative resolution is to purchase Crystal Reports v8.5 and distribute the runtime module to workstations where this type of report needs to be run and hardcode the report with servername or IP address. However, the distributable runtime module was discontinued in v10 of Crystal Reports and may no longer be available as a download from Business Objects website.