When you change SQL services to use the Local System account then you start to install FEP Reporting role, you can see the following error :
The report server cannot decrypt the symmetric key that is used to access sensitive or encrypted data in a report server database. You must either restore a backup key or delete all encrypted content. (rsReportServerDisabled) Get Online Help Bad Data. (Exception from HRESULT: 0x80090005)
To solve this problem, you have to delete the Encryption Key from SQL Reporting Services Configuration Manager, then restart the FEP Reporting installation again.
Ed Price - MSFT edited Revision 1. Comment: Tags and Title