You don't need the -p if the directory /u07/oradata already exists. However, if it does not exist, and you don't use the -p option, you will get the error you are seeing because the "file or directory" /u07/oradata does not exist. If you use the -p option and the parent directory isn't there, it won't complain, but instead make the parent directory and then make the directory. If the parent directory IS there, it will just make the directory. If you didn't need the -p option on the other server, then I would guess that on the other server /u07/oradata already existed when you ran the command to make /u07/oradata/AMPUAT.