To run that from the hard drive without a cd certain steps must be done.
Follow them as listed below and see if the issue is resolved.
Full Instructions for copying all data to hard drive
1. CD should be in CD drive.
2. Go to Windows Explorer.
3. The CD-ROM drive should show the Dictionary icon (maroon and blue with letters "A-Z"). Click once on the icon.
4. All folders and files contained on the CD should appear on the righthand side of the window. (If your computer is set up to hide certain files or file extensions, be sure to change these settings before installation. You should see 4 folders and 16 files.)
5. Select Edit from menu.
6. Select Select All from drop-down Edit menu.
7. All folders and files should be highlighted.
8. Hold down the Ctrl key and type C to copy all the files.
9. Select your hard drive. This is usually drive C.
10. Create a new folder on your hard drive by selecting File from the menu bar, New, and Folder. Enter a name for this folder.
11. Open newly created folder.
12. Type Ctrl-V to paste the previously copied files into the new folder.
13. Files will begin to transfer over (can take some time).
14. When complete, double-click the "setup.exe" file located in the newly created folder. The installation will begin again. Please read the rest of these instructions before clicking through the installation screens.
15. When you reach the "Choose Destination Location" window during the installation, you will see a small box called "Destination Directory."
16. Select the Browse button in this box.
17. In the list of Directories in the middle of the "Choose Directory" window, double-click on the folder you created in step 10. Click OK.
18. Continue with setup.
Website for your product, now up to V4 might want to upgrade it
http://www.houghtonmifflinbooks.com/eref/buy.jsp
Link to support section:
http://www.houghtonmifflinbooks.com/eref/support.jsp
There is a download update for versions prior to 2004