That is no easy question. There are many causes for the template timeout. There are a few threads in the community that will help you troubleshoot. It can be as easy as the scheduler not running, or more complicated, like a bad template action. Anyway, start with this http://community.landesk.com/support/message/73820 and see if that gets you up and running.
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I might be wrong but I believe that path to the policy.client .invoker.exe is when the agent is installed on the computer and since yours is the core it isn't supposed to be installed (at least they don't recommend it). This shouldn't have anything to do with your problem.
Look in the core in the ldlog folder and open the prov_schedule.exe.log (that name may not be quite right) see what it says. Post back here what it says.
Are you doing a drag and drop computer on a scheduled Provisioning task?
you are right, policy.client.invoker.exe is not supposed to be on the core. I can't explain why it is there. I just looked in the services and found this one corrupt.
The log says it can't find the computer, indicating miniscan in the WinPE did not result in a new device in the DB. On another machine (which already was in the DB) a scheduled a task via drag and drop and also got the 40/40 retries..
The root of the problem could not be found, but magically since this morning it works again. :/
Also, thanks to Tracy for pointing me to a helpful thread.
As for the Policy Invoker service, you probably had once a LANDesk agent installed on the core. Removing the agent using UNINSTALLWINCLIENT.exe won't remove this service...
thanks for the info, good to know. I am happy now as my Templates are processed correctly (for whatever reason).