The system i am trying to convert is windows 7. The oem partition that i think you are referring is the 100MB windows creates for recovery purposes and the vmware convertor is also selecting in the process of converting. In the converter wizard that [disk controler] is set to auto .
Also, even if the result is a failed operation, a file is created. The file boots in vmware, windows appears to be loading but a blue screen appears right before the clickable username page should appear. When the system restarts the option to fix errors was selected but windows did not manage to find a solution to the problem that caused the blue screen.