Secure XP Desktop can’t run app

Have got a XP SP2 workstation tied down with Zenworks group policys.

Using AWD (finance package) which once loaded create’s a local install directory on c:\AWDWIN. Once a user runs the app it creates a program group within c:\documents and settings\”userid”\start menu\programs\AWD MAIN. Which is populated with icons pointing to c:\awdwin. (OK SO FAR)

Every user logs into desktop as a local admin from dynamic local user policy.

We are trying to secure the desktop even more by hiding the c:\ via group policy to stop users right-clicking on start button to access c:\

Once this policy is in place AWD stops working with the usual M$ policy error.

It looks like AWD does not like me hiding the c:\ because it does create the icons in the AWD Main folder but does not show them.

Tried reg & folder permissions no joy