"java.lang.OutOfMemoryError: PermGen space" when starting managed server 11g with Java 7

Issue in logfile
-----------------

[weblogic@wlsadmin nodemanager]$ tail -f /u01/Middleware/user_projects/domains/fmw_domain/servers/WLS_IPM/logs/WLS_IPM.out
        Truncated. see log file for complete stacktrace
>
Exception in thread "[ACTIVE] ExecuteThread: '0' for queue: 'weblogic.kernel.Default (self-tuning)'"
Exception: java.lang.OutOfMemoryError thrown from the UncaughtExceptionHandler in thread "[ACTIVE] ExecuteThread: '0' for queue: 'weblogic.kernel.Default (self-tuning)'"
Exception in thread "[ACTIVE] ExecuteThread: '1' for queue: 'weblogic.kernel.Default (self-tuning)'" Exception in thread "[STANDBY] ExecuteThread: '4' for queue: 'weblogic.kernel.Default (self-tuning)'" Exception in thread "[STANDBY] ExecuteThread: '3' for queue: 'weblogic.kernel.Default (self-tuning)'"
Exception: java.lang.OutOfMemoryError thrown from the UncaughtExceptionHandler in thread "[ACTIVE] ExecuteThread: '1' for queue: 'weblogic.kernel.Default (self-tuning)'"

Exception: java.lang.OutOfMemoryError thrown from the UncaughtExceptionHandler in thread "[STANDBY] ExecuteThread: '4' for queue: 'weblogic.kernel.Default (self-tuning)'"

Exception: java.lang.OutOfMemoryError thrown from the UncaughtExceptionHandler in thread "[STANDBY] ExecuteThread: '3' for queue: 'weblogic.kernel.Default (self-tuning)'"
Exception in thread "[STANDBY] ExecuteThread: '8' for queue: 'weblogic.kernel.Default (self-tuning)'"
Exception: java.lang.OutOfMemoryError thrown from the UncaughtExceptionHandler in thread "[STANDBY] ExecuteThread: '8' for queue: 'weblogic.kernel.Default (self-tuning)'"
Exception in thread "[STANDBY] ExecuteThread: '9' for queue: 'weblogic.kernel.Default (self-tuning)'"
Exception: java.lang.OutOfMemoryError thrown from the UncaughtExceptionHandler in thread "[STANDBY] ExecuteThread: '9' for queue: 'weblogic.kernel.Default (self-tuning)'"
Exception in thread "[STANDBY] ExecuteThread: '7' for queue: 'weblogic.kernel.Default (self-tuning)'"
Exception: java.lang.OutOfMemoryError thrown from the UncaughtExceptionHandler in thread "[STANDBY] ExecuteThread: '7' for queue: 'weblogic.kernel.Default (self-tuning)'"
Exception in thread "[STANDBY] ExecuteThread: '10' for queue: 'weblogic.kernel.Default (self-tuning)'" Exception in thread "[STANDBY] ExecuteThread: '6' for queue: 'weblogic.kernel.Default (self-tuning)'"
Exception: java.lang.OutOfMemoryError thrown from the UncaughtExceptionHandler in thread "[STANDBY] ExecuteThread: '10' for queue: 'weblogic.kernel.Default (self-tuning)'"

Exception: java.lang.OutOfMemoryError thrown from the UncaughtExceptionHandler in thread "[STANDBY] ExecuteThread: '6' for queue: 'weblogic.kernel.Default (self-tuning)'"
<Jan 12, 2015 11:27:52 AM IST> <Error> <Socket> <BEA-000421> <Uncaught Throwable in processSockets
 java.lang.OutOfMemoryError: PermGen space.
java.lang.OutOfMemoryError: PermGen space




So, to avoid this, follow below steps:-
1) Login to AdminConsole–>Environments—Servers—>YourManagedServer—>Configuration (TAB)—>ServerStart (SubTab)—> Arguments:(TextArea)
2) Specify the your own Heap & MaxPermSize setting here.

3) Restart your Managed Server and verify from backend that these settings are being picked up.