When you try to run windows update you might get error code 78F for office 2007 sp1 update
The ONLY thing that finally worked was to completely uninstall office 2007 and Reboot your pc.
Reinstall office 2007 and Reboot your pc.
Now you need to Update from the downloaded SP1 installer.
Run Windows Update to clear the entry in pending updates.
Those of you who have a disk, just bite the bullet and reinstall and prepare to recite numbers over the phone when you get dinged to reactivate your copy of office.
Place either a CD or DVD of office 2007 in the DVD drive before attempting to update Office 2007 with SP1.