Exchange 2010 Management Shell stops working with errors

When attempting to utilize Exchange 2010 Management Shell to run powershell scripts, an error is encountered like:

GetComputerSite : Exception calling "GetComputerSite" with "0" argument(s): "Configuration system failed to initialize"
At C:\Program Files\Microsoft\Exchange Server\V14\bin\ConnectFunctions.ps1:164 char:92
+     $localSite=[System.DirectoryServices.ActiveDirectory.ActiveDirectorySite]::GetComputerSite <<<< ()
    + CategoryInfo          : NotSpecified: (:) [], MethodInvocationException
    + FullyQualifiedErrorId : DotNetMethodException

FindAll : The following exception was thrown when trying to enumerate the collection: "Configuration system failed to i
nitialize".
At C:\Program Files\Microsoft\Exchange Server\V14\bin\ConnectFunctions.ps1:253 char:17
+     $search.FindAll <<<< ()
    + CategoryInfo          : NotSpecified: (:) [], ExtendedTypeSystemException
    + FullyQualifiedErrorId : ExceptionInGetEnumerator

ToString : You cannot call a method on a null-valued expression.
At C:\Program Files\Microsoft\Exchange Server\V14\bin\ConnectFunctions.ps1:146 char:33
+                 $siteName = $siteDN.ToString <<<< ().SubString(3).Split(",")[0]
    + CategoryInfo          : InvalidOperation: (ToString:String) [], RuntimeException
    + FullyQualifiedErrorId : InvokeMethodOnNull

WARNING: No Exchange servers are available in the Active Directory site . Connecting to an Exchange server in another
Active Directory site.
Failed to connect to an Exchange server in the current site.
Enter the server FQDN where you want to connect.:

Resolution:

Delete C:\Windows\System32\WindowsPowerShell\v1.0\powershell.exe.config