ORA-12516: TNS:listener could not find available handler with matching protocol stack

Product:
Cognos Controller 10.3
Microsoft Windows 2008 R2 server
Oracle Database 12c

Symptom:
Error when you do optimize of the database inside Cognos Controller 10.3 in a new installation.

Error message:
Number: 5
Source: System.Web.Services
Description: System.Web.Services.Protocols.SoapException: Server was unable to process request. —> System.ArgumentException: ORA-12516: TNS:listener could not find available handler with matching protocol stack
at Microsoft.VisualBasic.

Cause:
The Cognos controller use more connections to the database server than the database server is setup for.

Solution:
Increase the max Connections value for the Oracle server from 500 to max 1000.

The Cognos Controller 10.3 can create 300 inactive connections to the database during some heavy processes. If the oracle database use around 90 connections for internal use, then you soon hit the limit of 500 on the Oracle database.