Open the UPM Console and look for the DSM Service field on right side of the screen. The status is shown as "failed" which prevents the correct functionality of the product. One of the possible causes of this behavior is incorrect credentials for DSM connection
The Upm.log shows the following entry:
2013-01-25 07:24:23,909 [AcceptedPatchTask] FATAL
[com.ca.unicenter.upm.eventmanager] - Error connecting to DSM Server.
Reason: SME_SEC_NEED_CREDS The client must provide explicit credentials to
complete authentication as unified logon is not available.
This means that the username/password provided to access the DSM service is invalid. You need to update the credentials in UPM.