Getting the error in the client logs: Failed to create object Altiris.SoftwareUpdateAgent: The object is not registered or is not present in the policy (-2147467237)
This is stopping software updates from downloading.
Scenario 1: Altiris Agent Plug-in and Software Update Agent Plug-in were deployed to four machines. Two worked correctly and immediately began downloading software update packages. The remaining two machines did not work and displayed the error message.
Scenario 2: Software Updates Policies were created and targeted the clients. Clients would not execute the Software Update Cycle until the Maintenance Window was open.
Software Update Plug-in installation did not completely finish installing or the agent is not targeted by any Software Update Plug-in Policy and the Default Software Update Plug-in Policy is disabled.
First make sure the Default Software Update Plug-in Policy (Settings>all settings> Agent Plug-ins> Software> Patch Management> Windows) is enabled and scheduled properly.
*If it is disabled and cloned custom policies are in use, make sure this computer is targeted by the custom Software Update Plug-in Policy.
In this case the solution was simply to run the installation manually from the client machine.
This can be done by connecting to the client and opening the Altiris Agent GUI > Software Delivery tab > click on the Software Update Plug-in Install package > then under 'Application Task' click on the install task (here you could have many tasks depending how many are available in the package).
Once the Software Update Plug-in installation ran, the Altiris Agent restarted and the Patch Software Updates started to download and run on proper schedule.