The Disallow locally attached storage as backup target machine setting should be configured correctly. This policy setting allows you to manage whether backups of a machine can run to locally attached storage or not. If you enable this policy setting, machine administrator/backup operator cannot use Windows Server Backup to run backups to a locally attached storage or disk. If you disable or do not configure this policy setting, there is no restriction on locally attached storage or disk being backup target. Fix: (1) GPO: Computer Configuration\Administrative Templates\Windows Components\Backup\Server\Disallow locally attached storage as backup target (2) KEY: HKLM\Software\Policies\Microsoft\Windows\Backup\Server\NoBackupToDisk