Server App or Server Admin can’t connect to a newly upgraded Lion server

After upgrading Mac OS X Server v10.6 to Lion Server v10.7.2 or earlier, servermgrd may not start automatically. This can cause the following symptoms: Server app's login window will indicate an invalid login even though the correct username and password have been entered. Server Admin will show an alert: "Could not connect to server.example.com. Server Admin was unable to connect to the server at server.example.com."
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