For the life of us we cannot install WSUS on our SCCM 2012 R2 server.

We tried the \wsusutil.exe postinstall SQL_INSTANCE_NAME="ABC\SUSDB" CONTENT_DIR=X:\WSUS

We keep getting this error message below, and the highlighted part is the problem.

The account we are using has access to 'local admin' rights of the SCCM box. Also access to SQL

We have the proper permissions on the folder, adding also Network Service, etc.

We cannot get WSUS up and running and keep hitting a wall.   It will not create WSUS website

Any suggestions would help.

014-01-31 22:49:42  Setting content location...
 2014-01-31 22:49:42  Fetching ContentDir from registry store
 2014-01-31 22:49:42  Value is W:\WSUS
 2014-01-31 22:49:42  Swtching DB to multi-user mode......
 2014-01-31 22:49:42  Finished setting multi-user mode
 2014-01-31 22:49:42  Writing DB settings to registry...
 2014-01-31 22:49:42  Marking PostInstall done for UpdateServices-WidDatabase in the registry...
 2014-01-31 22:49:42  Starting service W3SVC
 2014-01-31 22:49:43  Configuring IIS...
 2014-01-31 22:49:43  Start: ConfigureWebsite
 2014-01-31 22:49:43  Configuring website on port 8530
 2014-01-31 22:49:43  System.ComponentModel.Win32Exception (0x80004005): The system cannot find the file specified
    at System.Diagnostics.Process.StartWithShellExecuteEx(ProcessStartInfo startInfo)
    at System.Diagnostics.Process.Start(ProcessStartInfo startInfo)
    at Microsoft.UpdateServices.Administration.UseCustomWebSite.ExecuteIisCustomAction(String arguments)
    at Microsoft.UpdateServices.Administration.UseCustomWebSite.Install(Int32 portNumber)
    at Microsoft.UpdateServices.Administration.UseCustomWebSite.InstallAndConfigure(IisConfiguration& iisConfiguration, Int32 newPortNumber)
    at Microsoft.UpdateServices.Administration.PostInstall.ConfigureWebsite(Int32 portNumber)
    at Microsoft.UpdateServices.Administration.PostInstall.Run()
    at Microsoft.UpdateServices.Administration.PostInstall.Execute(String[] arguments)