Microsoft System Center Essentials 2010 is a super product. I had some trouble with SQL Server during the install but I got it installed by firstly installing SQL 2008R2 Express with advanced features. Advanced features is required for reporting services element of SCE 2010. You can download SQL 2008 R2 Express HERE
You can also install the SCE Management console on a client pc. A technet article is available HERE
I have not tested SCE's virtualization management but look forward to doing so.