In Vista, 2008 and Windows 7, extending volume is no longer a difficult task, it's possible to extend system partition by using Windows Disk management or diskpart.exe, which has inbuilt the features of extending volume and shrinking volume, and easy to use. But in Win2000/XP/2003 doesn't support these new features. About how to extend system volume in Vista,2008,Win7, here is an instruction:
http://www.extend-partition.com/extend-system-boot-partition.html, it seems Windows 7 is indeed better than WinXP/2000.