Once you've installed WebDAV, you need to enable it via the Enable WebDAV action and then assign permissions via an authoring rule. A rule that gives full permissions to accounts is shown here.
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You need to install the Desktop Experience feature pack if you're running the connection from a Windows Server 2008 box.
You can then try and map a drive to the server. If you don't have permissions, you'll see the output below.
The file cannot be accessed by the system.
If you have the right permissions, you'll see the following message, which confirms WebDAV is functioning.
The command completed successfully.