If you're using SPM to schedule the test against a Cisco device, it needs to have a read/write SNMP community defined (Read-Only can't schedule the test on the router). The device also has to have the IP-SLA feature set as well.
The other thing to consider (from the SPECTRUM Documentation): UDP tests must be configured to target a destination port that is listening for UDP traffic. For example, many Cisco devices running IOS IP SLAs use port 1967 and UNIX systems use port 7. Failure to configure the port can result in timeouts for UDP tests. Set the Destination Port parameter in the General options for UDP tests.