When attempting to apply CRM Outlook Client updates, you are always prompted for a reboot, but the update never installs.
This is typically caused by not being a local administrator on the machine. It can also occur if your local administrator on the machine but User Access Control (UAC) is configured.
1. Open auto-update by going to Start, click Programs, click Microsoft Dynamics CRM 4.0 and right-click on Update.
2. Choose Run as Administrator.
3. Click Yes at the UAC prompt and on the updates page click Update Now.