>Having include/excludes in the dsm.sys file works, it's just not the
>preferred method. If you need to adjust your includes/excludes, and a
>"dsmc sched" process is running, the process will not pick up the
>changes to dsm.sys since it is read only upon startup. By placing the
>list in an inclexcl file, you can update that file while the scheduler
>is running and the updated file will be re-read when a backup actually
>kicks off.

Michael - Under what client and level have you observed this to be true?

This is not the behavior I would expect, given that the client absorbs
and retains its options specifications in total when it starts.
I tried this under the 3.7.2 AIX client, by invoking 'dsmc' to conduct
an interactive session, and then doing 'show inclexcl' thereunder.
It did not "see" changes made to the include-exclude file while the
dsmc process continued: only a fresh start picked up the changes.
Could you try the same test under your client/level and verify?

  thanks, Richard Sims, BU