OK,
a. presumably this is Access, with Word 2002 or 2003
b. for a parameter query, only DDE will do
c. is the database a .mdb or what? When you have selected it in "Select
Data Source" and selected the DDE option in the next dialog, do you see the
list of tables and queries? Or are you not even getting that far?
d. If you are seeing the list of tables and queries and successfully
selecting the query, what actually happens next? Do you see a dialog box pop
up anywhere so you can enter the parameter values? If not, try Alt-tab to
ensure that the dialog box has not appeared behind Word - this is a common
problem in this scenario.
e. If that's not the problem, are the underlying tables for the query in
the database, or is the query linked to external tables in some way? (I have
to say that in the latter scenario there can sometimes be problems with Word
2003).

I know you're on a deadline but I am away for a few days now - if necessary
re-post your query and point to this conversation and see if anyone else can
get any further.

Peter Jamieson