Today I came across this problem while trying to connect a brand new 2016 SQL Server Integration Service. We are currently working on a Proof of Concept and I installed Database Engine, SSIS, SSAS and SSRS, all in 2016 version. I also downloaded and installed latest SSMS which is 18.2 while I am writing this post.
At first glance I didn’t understand what the problem is, here is the error message when I try to connect:

First, I double checked that SSIS is installed and running properly.

Then I realized that error message states something is wrong with Microsoft.SqlServer.Management.Sdk.Sfc. I tried to browse SSIS with SSMS Browser but it couldn’t find the local Integration Service although it was showing other services as Database Engine, SSAS and SSRS.

Hold tight. It turns out that newer versions of SQL Server Management Studio is not compatible with SSIS 2016, sigh.
To get rid of this annoying problem, you have to uninstall SSMS (18.2 in my case) and then downloaded and installed SSMS 16.5.3. You can download it from here: SSMS 16.5.3
After installing SSMS 16, I was able to browse Local integration service and connect to SSIS without an issue.
Bottom line is always be careful when working with latest product versions and compatibility issues.
Thanks for help.
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I have done exactly as you said, installed SSMS 16.5.3 rebooted and still get the same error. Someone said it was because I also had VS 2019 so i removed that as well and still get the error.
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Hi,
Are you getting the same error message or a different error code? Is it Integration Services 2016 or a different version?
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Wow. I was using SSMS 2019 and could not connect to SSIS. Installed your version and whala! thanks a million. Now I am hoping my packages will work too:-)
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