" when i click on a rpm package I get "open with" dialog."
You may have the file associations messed up. To check it out:
start kcontrol (Contol Center)
Click on KDE Components -> File Associations -> application ->x-rpm
and see if Yast handles *.rpm files. When I ran SuSE I prefered to use kpackage myself.
Be prepared. Create a LifeBoat CD.