I haven't worked all over the world, I haven't worked for many software companies (three so far in my career), but what I can say, is out of the three companies, no one is taking security issues more seriously than Microsoft.
When you your company ships as many products as Microsoft, sometimes things slip through the cracks. the Security Configuration Wizard for Windows Server 2003 is one of those things. Unfortunately this tool does not work as expected on Windows Small Business Server 2003 servers.
I would highly recommend waiting for Small Business Server SP1 to appear on the Downloads for Windows Small Business Server 2003 page. This page will have all the critical updates for Small Business Server 2003 that don't directly apply to Windows only (which is why it's called "Windows Update" :o) ).
As you probably know, I don't like to comment too much on the future. But what I will say is the Small Business Server team here in Redmond is working their tails off in order to provide you guys with the most secure and reliable service pack.