In the first step, the Sequencer does not set any outputs. It is simply waiting in Step 1 for VLV-5 to close.
If you followed the programming steps laid out in the video, the sequencer should reset the Batch Done bit when the Batch Reset is set. First, make sure the connection in the DRUM block for Reset is connected to the Batch_Reset tag. Make sure that you have added the rung that calls the sequencer FB whenever the Batch Done bit or the Batch Start and Sequencer Adv bits are set. If so, then you may have an issue with the version of software you are using.
We used TIA Portal v14 and PLC-SIM v5.4+SP8 to create this video series. The PLC simulator is very powerful, but I have noted a couple of occasions where complex blocks, like the DRUM block, may not execute as intended. My suggestion is to reset your PLC simulator and download the entire program again.
Lastly, DRUM is a more recent addition to the Siemens block library. The older version of this block is DRUM_X. I have created a version of this program using the DRUM_X block, which also worked for me. If your TIA Portal software is prior to v14 or if you tried this example with S7 Manager, you may want to try the DRUM_X block.