HELP!!!

I've been given the task of installing windows server 2003 and creating user accounts so that anyone can log on to any workstation and use their own area.

I'm really not familiar with this which is why I'm here. I've managed to install the software so that I've got a file server environment and a domain with the active directory present.

I've also managed to get the clients/workstations (running XP PRO) to log on to the domain using the test accounts I have set up, but I have a couple of problems.

1.) When you log on to a workstation it accept the logon and then stops at 'applying user settings' for ages until it goes to the desktop.

2.) This is where I'm really struggling..........I want the users (who are just part of the normal users group) to have their own area on the server so that when they log in from any workstation, thats their default area. Also users can't look at other users areas, only administrators can.

I thought this would be straightforward but I'm really struggling so any help would be very much appreciated.

Thanks in advance.

Pete