Batch Button Grayed Out in CS3

Greetings: I'm a new user of PS CS3 trying to use the batch mode to process a recorded action on a folder of images. However, when I click file > automate > batch - the batch button is grayed out. I have reset PS preferences with no luck. My internet search on this did not turn up much. Hoping someone with experience or knowledge of this can help out? Thanks for your time.

Are you doing this from Adobe Bridge or file explorer. If the latter, try doing this within Bridge.