The D3drm.DLL file stands for Direct3D Retained Mode DLL and it's a file that's needed by the DirectX enabled applications.
My suggestion is to install the DirectX 9.0c to its latest version and then run the software. Additionally, install DirectX 8, but it won't have any effect on newer versions of Windows. Also, it might be possible that the application you're trying to install is not developed to run on newer versions of Windows.