If the motor is not running, it is difficult to shift to second. I think it's almost impossible to shift into 3 unless the bike is running. Kaw did that on purpose. It might help if you roll the bike several feet as you shift. That is even necessary sometimes with the motor running if say you stopped in second gear and want to shift down to 1 to take off. Roll to and fro a couple feet while working the pedal.
If you are running the bike and it's rolling along in 1st but won't shift up past N, that is very strange especially if it was shifting good before. If it has anything to do with the clutch, it might be that your clutch pack is a little too high. You should be able to change the clutch lever throw to any distance with the stock dial and the clutch should disengage for a smooth shift. If your clutch pack is tall, it will get shorter with use and that might help but it will could be a lot of years before it wears down. Probably time to change it by then.
Did you try returning the dial to its previous setting? Open the throw to max. Did you notice this problem and then determine not to start the bike? Always good to be safe but it would probably do the same thing at any setting unless you roll the bike.
I smell a newbie here. I hope I'm right on this...I wasn't going to say anything. 
Don't sweat it, I still kill switch myself for 10 minutes before I figure it out. Have posted a couple times with that "problem".
