Sql query operation fails with User impersonation failed / Logon failure: the user has not been granted the requested logon type at this computer. (Exception from HRESULT: 0x80070569)
This error is thrown because the user specified in the operation inputs is not allowed to Log on Locally on the remote server. This typically happens if the Deny Log on Locally has been applied to a group the user part of.
In order to fix this, the user should have the necessary settings so he can Logon locally on the remote machine.