Fix the error message "You cannot install Parallels Tools because the virtual machine has no CD/DVD device."

When you are trying to install Parallels Tools, you might get the following error:

The issue is caused by the fact the Parallels Tools .iso file isn't mounted to the virtual machine. 

Resolution

Perform the following steps to solve the issue: 

1. Shut down the virtual machine (Actions > Shut Down).

2. Open the virtual machine's configuration > Hardware.

3. Click on the "+" sign and add "CD/DVD".

4. Run your virtual machine.

5. Try installing Parallels Tools: right-click the virtual machine icon in Dock > Actions > Install Parallels Tools).

6. If the installation does not start, click on File Explorer inside the virtual machine and double-click on DVD Drive Parallels Tools to initiate the installation process.