Is the XServe booted? If not then Server Monitor isn't going to help you much. All it can do is give you environmental status of your server (power supply, memory, temperature, etc.). It can't diagnose a failed disk or restore a failed system.
That said, if you want to run it, you can run it from any other system on your network. The Server Admin tools should have been included with your server disks, or you can download them from Apple.