Your version of "spIsHierarchyManagedItem1" stored procedure is from Symantec Management Platform 7.5, not 7.1 SP2. Please double check that you are performing clean installation.
I would recommend you to revert your 2008R2 server used for SMP installation, delete any "broken" SMP SQL databases and try again.
Also, what was the exact product name and version that you have tried to install? I will double check on clean installation, that correct version of this stored procedure is being installed with the specified product.