I ran across this thread trying to find the answer to the same question. I was able to answer it myself by a little experimentation. I'm posting to this two year old thread in case anyone else runs across this thread while searching using the same search terms.
The display shows you which components CAN run, and also which ones are RUNNING. Words which are displayed solid show you what is configured, and therefore can run, while words which are flashing also show that the component is running.
So let's say you chose option A or B in the Heat Pump setup (A = fast recovery, B = efficient recover). You would see the words "AUX" and "HEAT PUMP" displayed solid, since those are the components that can run. When the system calls for heat, the word "HEAT PUMP" and the fan icon will begin flashing, showing that those are the components which are running. The flashing only appears for about 30 seconds, after that you need to touch the display to wake it so it shows you the running components. If the requested temp and current temp differ by more than the value programmed into the temperature differential setting, the system will also call for AUX heat, and the word "AUX" will begin flashing as well. In normal operation, you wouldn't expect to see "AUX" flash, but you would expect to see "HEAT PUMP" flash.
If you chose option C in the heat pump setup, you are configuring for no AUX heat. So the word AUX will not appear, since AUX heat is not configured into the system. If you wanted to never use your AUX heating (resistance strips in an all-electric system), you could choose option C. I'm not sure if when you choose option C, you lose your ability to use the heating strips in emergency mode. It may be that you lose the emergency heat feature if you choose option C in the configuration.
I have a 3M-50, not a 3M-30, but I believe they are the same, except the 3M-50 comes with the wifi radio module.