*This post applies to Management Reporter 2012 CU8 and earlier versions.
Resolving the error “Active Directory User Does Not Exist”
Management Reporter users integrate automatically based on roles assigned within Dynamics AX 2012. Users are inserted, updated or removed from the Management Reporter database as changes are made in AX.
If a user is removed from Active Directory without removing them from AX (or removing AX roles that provide Management Reporter access) the Management Reporter datamart integration will begin to fail and the user will not be removed. The integration will produce error messages which reference this issue.
To resolve the issue you will need to re-add the user account in Active Directory and wait for the Management Reporter AX 2012 integration to run successfully. At that point you can either remove the user from Dynamics AX or remove the security roles assigned to that user that provide access to Management Reporter. You will once again need to wait for the integration to run (by default this runs every 5 minutes) which will remove the user from Management Reporter and you can then remove the user from Active Directory. I like to query the SecurityUser table within the Management Reporter database to ensure the user updates have completed.
Notice: This issue was resolved in Management Reporter 2012 CU9. With this cumulative update, if a user is removed from Active Directory the user will also be removed from Management Reporter and the integration logs will make note of it.