It might be able to create and replay Web Services scripts without installing WSE 2.0 SP3, and WSE 3.0, depending on your application under test (AUT) toolkit and API usage; HOWEVER, if you get an error will you need to install/activate one or more of WSE 2.0 SP3, WSE 3.0, and .NET 3.5 of these prerequisite software are required, IF :

• IF, when using the WCF toolkit, your script contains one of the following API functions:
  • web_service_set_security
  • web_service_set_security_saml
• IF, when using the Axis or .NET toolkits, your script contains one of the following API functions:
  • web_service_set_security
  • web_service_set_security_saml
  • web_service_call

You can test your scripts by not installing the WSE 2.0 SP3, WSE 3.0, on one machines and replay the script in the VuGen,  then check the script replay log for error(s), if you see any that look like this:

Action.c(49): Error: To continue, WSE2 and WSE3 must be installed on your machine. The setup programs for WSE2.0 SP3 and WSE3.0 are included in the [LoadRunner installation]lrunnerCommon folder or can be downloaded from the Internet. [Time:2019-08-05 07:54:37]

Then the Solution is :

• First, activate .NET 3.5. Turn on the Windows feature as described in the MSDN. at
  • https://msdn.microsoft.com/en-us/library/hh506443(v=vs.110).aspx
• Next, install the WSE components from your LoadRunner installation package folders:
  • lrunnerCommonwse20sp3
  • AND
  • lrunnerCommonwse30,
  • OR
  • download them from the Internet.
• Reboot

Reference:

From

https://admhelp.microfocus.com/lr/en/2020/help/WebHelp/Content/VuGen/tl_WebServices.htm?Highlight=WSE