TestCompete throws an error message as "The OUTLOOK.EXE process crashed." when executing outlook.

What happens if you run your test to the step before Outlook opens, then you open Outlook manually?  I bet it's not so much that it is happening from inside TestComplete, but more that Outlook and TestComplete are running together.  They are both greedy programs.

If opening Outlook manually causes this too, then I would try shutting down every other program that you can on the test machine and then try TestComplete and Outlook together again.