When increasing the Java VM memory parameters for a PeopleSoft system under Weblogic (either in setEnv.cmd or manually by editing the cmdline registry entry if that’s your “thing”), be very careful not to increase the -XX:MaxPermSize memory allocation too much.
In fact I would leave it at 128MB or perhaps 256MB. Whatever you do, don’t update all three parameters in step, especially on a 32-bit Java, as you will hit Out of Memory errors on Weblogic startup way earlier than you expect. The MaxPermSize memory is allocated outside of the heap so the total memory you potentially need is more than you expect.