Hey
I had problems with the original cluster and i bought a used one. Be sure that it's not older than the original! Newer works fine. Preferably to the same engine and gearbox.
After the swap everything works fine, but i got the DSC light and the yellow handbrake light constantly on! And then of course the stability control doesn't work.
I downloaded the "Bmw standard tools 5.0" and installed it to my computer. Follow the instructions carefully. You will also need the Inpa/ediabas cable to connect to obd2 on the car, and to your computer. I also use a usb to serial cable. When you get the "INPA" to function choose "E46", "Chassis", "Steering angle sensor" Double click, and then there is a "Special job" on one of the "F" or shift "F" options. I am not hooked up to the car, so i can't give exact explanation. But once you find it, it's the F1 job, there is a message that says "sterring wheel must be aligned straight forward!" Hit F1 and you will calibrate your steering angle sensor. After this the lights went out and everything functions!