What action should an administrator perform in the vSphere Client to create a VM template usable by more than one vCenter Server instance?

To create a VM template that can be utilized by more than one vCenter Server instance, the appropriate action is to clone the VM and save it as a template to a library. This method allows for the template to be stored centrally in a content library, which can then be accessed by multiple vCenter Servers.

When you choose to clone the VM and select the option to clone it as a template to the library, you are effectively creating a reusable template that can be shared across different vCenter Servers. This is particularly useful in environments that employ multiple vCenter instances for different management domains or geographical locations, as it promotes consistency and efficiency in VM creation.

This process ensures that the VM configuration, settings, and installed applications are preserved in the template, making it easier for administrators to deploy new VMs from a standard configuration whenever needed. A well-managed content library is an essential aspect of effective virtualization management, especially in large-scale environments.

The other options do not facilitate the creation of a shared template. For instance, converting a VM to a template, cloning to a template, or converting a template back to a virtual machine all operate based on the context of a single vCenter instance rather than enabling cross-instance usability.