Q. Outlook error message "Outlook could not create the work file. Check the temp environment variable."?
A. The computing "environment" has values that are changeable, or "variable"and can be set for certain needs of different software programs. Thephysical location of temporary storage is one of those environmentvariables. It's identified by TEMP or TMP in the environment variablessettings.
NOTE: Take backup of the registry first by going to start>run>type Regedit>File Export and save the backup on the desktop.
Then go to HKCU\Software\Microsoft\Windows\Current Version\Explorer\User Shell Folders\Cache and check to which location it is pointing to. (e.g:%windir%\temp or something else) then change it to C:\Windows\temp .
This will resolve the issue.