In your /baclient/ directory you should find a file called dsm.opt - this
may or may not have a "passwordaccess generate" option. If it has, then it
should encript the password and store it in the registry. If not, then it
should prompt for a password every time.

If you can log into the ADSM server and do manual incrementals that way,
then I would suggest that this is probably the only thing that may have
caused the confustion.