A system and method for initializing a SNMP agent in SNMPv3 mode. In one aspect of the invention, a method is provided that allows an operator to securely enter the initial SNMPv3 privacy and authentication keys into a SNMPv3 device and cause the device to enter in SNMPv3 mode. The SNMP manager and SNMP agent both generate an associated random number and public value. The SNMP manager passes its public value to the SNMP agent in a configuration file, which causes a proprietary MIB element in the SNMPv3 device to be set with the public value of the SNMP manager. The SNMP manager reads the public value of the SNMP agent through a SNMP request using an initial valid user having access to the public value of the SNMP agent. The SNMP agent and SNMP manager each independently compute a shared secret using the Diffie-Hellman key exchange protocol. The SNMP manager and SNMP agent each independently convert the shared secret into the same readable password, convert the readable password into the same secret key and set the initial authentication key and the initial privacy key to the value of the secret key.