Reported failures:

• Rearm count exceeded
• Rearm failure
• Rearm Warning on machine catalog

• Some Microsoft Office runtimes can cause the office rearm to be invoked, resulting in a failure

• A KMS version of Microsoft Office is not installed.

Run the following PowerShell on the Delivery Controller:

Set-ProvServiceConfigurationData -Name ImageManagementPrep_Excluded_Steps -Value OfficeRearm

 

Reference: https://www.citrix.com/blogs/2016/04/04/machine-creation-service-image-preparation-overview-and-fault-finding/

Problem Cause

The rearm process used during preparing MCS image is primarily applicable to traditional versions of Microsoft Office (like Office 2010, 2013, and 2016) that utilize KMS activation. 

The MCS (Machine Creation Services) does not support the activation method of Office 365 due to the lack of a rearm process. When attempting to create a Machine Catalog with Office 365 installed, errors related to Office Rearm Failure may occur because the system looks for a rearm that cannot be found .

You can Exclude officeRearm from the provisioning scheme if not using KMS version of MS office in the image.