Windows 2003 has built-in tools to automate backups. It helps to save u from having to manually backup files and making automation, u can schedule a backup job and let the backup utility do everything for automatically. This helps at a certain time the Backup Utility will start, and initialize the backup job. To open BU, start > programs > accessories > system tools > backup. This will start the backup / restore or go straight to the backup and restore utility. Next to advanced mode, tools > options & select a suitable backup preferences (indicating the check boxes). There r five different pane-tabs….. on bachup types > select method of backups like normal, copy etc. etc… once selected which files / folders to backup and press start backup, then click the schedule button in the backup Job Information screen. After saving the backup job u will be asked to enter the user/pass of the account u want the job to run under. From the scheduled job options dialog, type a job name and click the properties button to set the date, time, and frequency of this job.
Another one good reference from MS

Thanks Rechil, you have provided useful information