I am trying to extend schema for ZEN 7 but it fails with the following

ZEN2TOZFD4.SCH Error code -60407/07/06 05:33:14 pm --ERROR: There was a
problem extending the schema. There may be a problem with your directory.
Use nwconfig to Diagnose and repair any problems. Then re-run the schema

Any Idea what I need to do here? I did a health check before running the
schema extension. Not sure what or How I need to fix this. Any advise
would be appreciated.