object package is a container of reports like a folder, except that you can schedule an object package to schedule the reports in it all at once.
you can open the object package and view the report. if you don't want that, open the package and copy the reports directly into a folder.
now, about the error that you have stated; it looks like your crystal servers,especially crystal cache server, are not running, disabled or both.
go to cmc > servers > service categories > crystal reports, and ensure all servers are running and enabled.
-Nikhil Nair