JIRA 4.4 or later, select 'Users' > 'JIRA User Server' in Administration mode.we have done this .
Next step is to add application
application name:?
password:?
what we need to use ? username and password which we used while running the JIRA sever?
From your other posts it looks like you were trying to connect Confluence to JIRA's user management? Is that right?
If so it is documented pretty well here
http://confluence.atlassian.com/display/DOC/Connecting+to+Crowd+or+JIRA+for+User+Management#ConnectingtoCrowdorJIRAforUserManagement-ConnectingConfluencetoJIRAforUserManagement
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