Well how is Alice set up between the server and the lab?
Is it run on a network partition?
Have you tried the latest version? This one seems pretty old. Even in my school we only used 2009.
If so, then you ought to scroll down on the
download page.
Alice wasn't developed with networking in mind (It was to be run on the C drive as it explains.)
So if you haven't already, you have to edit the version.txt somewhere in the Alice folder and manually input where you'd like user preferences to be saved.
Since that tutorial was made for XP, you may want to use the USERPROFILE environment variable. Though in my school district we had a separate shared network partition for each student to use as their "My Documents" folder so you may want to use that instead if you have it.
Why does this forum break when typing in environment variables?