SCENARIO:

Unable to setup single sign-on. I try execute "Convert Domain" procedure here: http://onlinehelp.microsoft.com/en-us/office365-enterprises/ff652560.aspx, but a have strange issue.

Microsoft Online Services Module is installed on the primary AD FS 2.0 server.  I run Convert-MsolDomainToFederated cmdlet and get error message: "You must run the Set-MsolADFSContext cmdlet before running this command".

Whet I run Set-MsolADFSContext cmdlet, enter FQDN of local computer and admin's credentials, error occurred: "The connection to Active Directory Federation Services 2.0 server failed due to invalid credentials."

SUGGESTED SOLUTION:

I ran into the exact same problem as Dmitry.  winrm quickconfig did the trick. Here's my results:

C:\Windows\system32>winrm quickconfig

WinRM already is set up to receive requests on this machine.

WinRM is not set up to allow remote access to this machine for management.

The following changes must be made:

Create a WinRM listener on HTTP://* to accept WS-Man requests to any IP on this

machine.

Enable the WinRM firewall exception.

Make these changes [y/n]? y

WinRM has been updated for remote management.

Created a WinRM listener on HTTP://* to accept WS-Man requests to any IP on this

machine.

WinRM firewall exception enabled.