Product:
Cognos Controller 8.5 fixpack 1

Symptom:
Error message when you start Cognos Controller from the Cognos Connection on a Windows 2008 R2 Terminal Server.

Error message:
Microsoft IE Execute shell
Microsoft IE Execute shell has encountered a problem and needs to close.
We are sorry for the inconvenience.

If you are in the middle of something, the information you were working on might be lost.

Cause:
The Cognos Controller client is a 32 bit application, but the Internet Explorer you are running on the Windows 2008 R2 server may be a 64 bit application.

Solution:
Instead of starting the Cognos Controller application from the web site, install the ccrlocalclient.msi on the Microsoft Windows 2008 R2 terminal server.
This will give you a local ccr.exe program on the start menu – and then you use that instead.

CCRlocalclient.msi is found on the controller application server and can be started from
http://servername/cognos8/controllerbin/ccrlocalclient.msi

When you get the file download – Security warning, you should select RUN.
During installation you will be ask to enter the URL to the application server, should be something like this:
WSS URL: http://servername/cognos8/controllerserver
Help URL: http://servername/cognos8/controllerhelp

You find the correct values in Controller Configuration on the Application server.
Supported version of OS is found here for Cognos Controller
http://www-01.ibm.com/support/docview.wss?rs=3450&uid=swg27017475