Create a New Administrative Installation
1. Make sure you are logged in on your computer with administrator privileges. Insert the Microsoft Office 2003 installation CD into the CD-ROM drive of your computer.
2. Click on the “Start” button and then click on the “Run” option. Enter a command that is similar to “CD-ROM drive:\\Setup /a” into the “Open” field, depending on the drive letter of your CD-ROM drive.

3. Click on the “OK” button after entering the command. The Administrative Installation dialog box will then appear on your screen.
4. Locate your hard drive in the Administrative Installation dialog box and then enter the product key for Microsoft Office 2003. This key is on the software packaging.
5. Click on the “Next” button and then allow time for the installation process to complete. Click on the “OK” button. You can then use a different administrative installation to stop the error from occurring.
Use a Different Administrative Installation
6. Make sure you are logged into Windows XP on your computer with administrator privileges.
7. Click on the “Start” button and then click on the “Run” option.
8. Enter a command in the “Open” field that includes the new network path and package name. An example of the command is, “new network path\\Setup.exe /fvm package name.msi.\'
9. Allow time for the update to be process and then click on the “OK” button when the process is complete. You can now install Microsoft Office 2003 with out Error 1706 appearing.