Hi,
Yes, it will operate correctly. Your SMI switch will automatically upgrade to EMI.
Please ensure your existing stack is up and running, and SMI switch is turned off.
then cable this into the stack and power the SMI switch on. and DO NOT TURN IT OFF or intrupt the upgrade process and let it run the upgrade.
off cource you will have to purchase the upgrade licence.
Some useful info in this link
http://www.cisco.com/en/US/docs/switches/lan/catalyst3750/software/release/12.2_44_se/release/notes/OL14630.html#wp697759
Good luck and hope this Helps .....
Shaheen