1. notepad (C: \ Windows \ notepad.exe does not appear any window on any computer).
2. regedit (C: \ Windows \ regedit.exe does not appear any window on any computer).
Yes, this is exactly how it is supposed to work. You shouldn't see the window neither on the remote PC, nor on the local PC.
If it doesn't work for other programs, it only means that these program does not support the hidden mode.
window appears on the remote computer instead of on the local
It doesn't work that way :) The program executes on the remote PC. It is not supposed to appear on the local PC at all.