Yes, some settings can lead to 'Some settings are managed by your organisation' in Settings.
On the other hand, its Undo can help fix that.
Found the solution to my original question about the anniversary update failing with "something went wrong". There apparently is some kind of conflict between the update and Wi-Fi connection.
The solution by unicore
Getting error 0x80070057 - Page 2 - Windows 10 Forums
worked for me and the update proceeded.
The solution was to disconnect wifi (go into aeroplane mode) as soon as the update starts verifying the download. Credit Unicore.
Hope this helps someone else.