Dynamic drives are bad news I would stay clear of them .
i think they are a recepe for loosing your data . that is my personal opinion .ii have same bad feeling with CD-RW as opposeed to better media CD-R again that is my personal opinion (based on here say and what others say on different forums)
your system with all those partitions look complicated.
what i had posted earilier F10 recovery is what IBM used to use or still do.
I would have say 2 drives first NTFS where XP is going to live.
and another drive fat32 where ghost image of the first NTFS drive is going to reside plus the content of a bootable floppy.
making both drives primary. and bootable (hide the second drive so XP can not write to it. I also think transfered SYS: system files to second drive before hidding it .
the IBM use a Boot manager which I have posted on the floppy
you run the floppy(boot it) then choose 1 or something to install
a MBR .
any way as I am not a program myself I have explained it like a layman in that link and it is not a waffle I have tested it and it all works on one computer.
the only thing I have not test is to copy the whole Disk l(2 partition) into another ghost image for deploying into exactly similar machineswith same architecture.
like IBM or E-machine do in their factories.
and mine is same as IBM 1 IDE HDD with 2 partition both partitions are bootable and primary second is hidden and when you press F10 bootmanager kiks in and boots the second recovery partition whic got ghost command line option and thus installs
the XP image to the NTFS partition.
I would do it with 1 HDD same as mine then when you become good at it try it with 2 HDD instead of 2 partion see if it works .
if you are going to experiment disconnect the HDD with opeating system and data and connect the second HDD and experiment on that .
if you need immidiate back up there are some new multiple drives called NAS Network attached storage which copy data to 4 HDD
and if one HDD fails the software kicks the spare drive in until the faulty drive is replaced .
cheers Ben