On the Microsoft Windows 2000 desktop, click My Computer.
In the Inetpub directory, create a physical directory. For example, if you name the directory WebDAV, the path to this directory is C:\Inetpub\WebDAV. You can put this directory anywhere except under the Wwwroot directory. Wwwroot is an exception because its default discretionary access control lists (DACLs) are different from those on other directories.
Click Start, click Programs, click Administrative Tools, and then open the Internet Information Services (IIS) snap-in. Click to select the Web site in which you want to create the virtual directory, and then map it to the physical directory that you created in step 2.
Type WebDAV as the alias for this virtual directory, and then link it to the physical directory that you created in step 2.
Reset the default NTFS file system permissions to something more restrictive. Users need at least Read permissions to see the directory. If users want to upload content, users also need Write permissions.
Grant the Read, Write, and Browsing access permissions for the virtual directory from the IIS Microsoft Management Console (MMC). This grants users the right to publish documents on this virtual directory and to see a list of the files in it.
NOTE: Granting Write access does not give a client the ability to modify Active Server Pages (ASP) pages or any other script-mapped files. To allow these files to be modified, you must grant Write permissions and Script source access after you create the virtual directory.