The remote server returned an error: (401) Unauthorized

Error Message

Upload Project returns the below error:
---- Business Analyst Desktop Errors: -----
Unable to upload content to the server: The remote server returned an error: (401) Unauthorized.

Cause

Enable anonymous access is not checked in Authentication Methods in Microsoft Internet Information Services (IIS).

Solution or Workaround

1. To Enable anonymous access, first open Internet Information Services (IIS) Manager. This can be done using the operating system's Administrative Tools.
2. In the IIS Manger dialog box, expand the
   -(local computer)
   - Web Sites
   - Default Web Site
   - arcgisoutput
   
   

   Note:
   If there is a custom IIS configuration, navigate to the location of arcgisoutput directory.

   
   
3. Right-click on the arcgisoutput directory. Select Properties. In the arcgisoutput Properties dialog box, select Directory Security and select Edit...
   
   
   
4. This opens up the Authentication Methods dialog box. In this dialog box, ensure that Enable anonymous access is checked.
   
   
   
5. Click OK.
6. Restart IIS and ArcGIS Server services.
   
   

   Note:
   To ensure that all the services were restarted, log off and log on before executing Upload Project again.