We are having the same issue. This happens on every workstation that I upgrade. Basically what I've had to do is:
1. Uninstall the 3.0 client
2. RE-install the 3.0 client - Because
a. The uninstall leaves behind the CRM menu dropdown
b. Does not uninstall all components from the registry
3. Uninstall the 3.0 client again - This seems to work like a charm the second time around? (Did one of the rollups break the uninstaller or something?) - OR you can skip steps 2 & 3 and go through the registry and Program files to remove the 3.0 remains manually.
4. Verify that 3.0 is gone
5. Remove the profile of the user on the workstation
6. Re-Add the profile of the user - This solves the crashing issue after the install is complete.
7. Install the 4.0 client (6 & 7 can be flip-flopped as long as you don't run the config portion until after the profile has been re-added
8. Run the configuration for CRM
9. Verify the installation - Wait for the Outlook client to sync the mailbox (can take a REALLY long time if the user syncs everything to the local drive.
This whole process takes anywhere from 20-60 minutes PER Workstation!
If anyone has a better solution... please let post it.