I just downloaded and installed the Team Foundation Server 2012 1 update on my TFS2012 server and now I cannot configure the assembly controller or edit the assembly definitions.
I downloaded the update from here: Team Foundation Server 2012 with Update 1 ( web installer or 1.1 GB ISO file )
Then I launched the installer on my server, which contains both the application layer and the data layer in the same field.
Then I ran the installer on another server, which is the build controller and build agent. This required me to reconfigure the assembly controller, but the wizard did not complete the following error:

When I look in the application level event log, I see the following error:
Detailed Message: TF30065: An unhandled exception occurred. Web Request Details Url: http://tfs.contoso.com:8080/tfs/Collection/Build/v4.0/AdministrationService.asmx [method: POST] User Agent: Team Foundation (TfsMgmt.exe, 11.0.51106.1, Other, SKU:9) Headers: Content-Length=405&Content-Type=application%2fsoap%2bxml%3b+charset%3dutf-8&Accept-Encoding=gzip&Accept-Language=en-AU&Expect=100-continue&Host=tfs.contoso.com%3a8080&User-Agent=Team+Foundation+(TfsMgmt.exe%2c+11.0.51106.1%2c+Other%2c+SKU%3a9)&X-TFS-Version=1.0.0.0&X-TFS-Session=21fd1d52-8afa-455c-bcc8-32ee83fa39a2%2c+AddBuildControllers&SOAPAction=%22http%3a%2f%2fschemas.microsoft.com%2fTeamFoundation%2f2010%2fBuild%2fAddBuildControllers%22 Path: /tfs/Collection/Build/v4.0/AdministrationService.asmx Local Request: False Host Address: 192.168.1.100 User: DOMAIN\TFSBUILDSVC [authentication type: NTLM] Exception Message: TF30040: The database is not correctly configured. Contact your Team Foundation Server administrator. (type DatabaseConfigurationException) Exception Stack Trace: at Microsoft.TeamFoundation.Framework.Server.TeamFoundationSqlResourceComponent.TranslateException(Int32 errorNumber, SqlException sqlException, SqlError sqlError) at Microsoft.TeamFoundation.Framework.Server.TeamFoundationSqlResourceComponent.TranslateException(SqlException sqlException) at Microsoft.TeamFoundation.Framework.Server.TeamFoundationSqlResourceComponent.MapException(SqlException ex, QueryExecutionState queryState) at Microsoft.TeamFoundation.Framework.Server.TeamFoundationSqlResourceComponent.HandleException(Exception exception) at Microsoft.TeamFoundation.Framework.Server.TeamFoundationSqlResourceComponent.Execute(ExecuteType executeType, CommandBehavior behavior) at Microsoft.TeamFoundation.Build.Server.DataAccess.AdministrationComponent.AddBuildControllers(IList`1 controllers) at Microsoft.TeamFoundation.Build.Server.TeamFoundationBuildResourceService.AddBuildControllers(TeamFoundationRequestContext requestContext, IList`1 controllers) at Microsoft.TeamFoundation.Build.Server.AdministrationWebService4.AddBuildControllers(List`1 controllers) Inner Exception Details: Exception Message: Operand type clash: dbo.typ_BuildControllerTableV2 is incompatible with dbo.typ_BuildControllerTable (type SqlException) SQL Exception Class: 16 SQL Exception Number: 206 SQL Exception Procedure: SQL Exception Line Number: 1 SQL Exception Server: tfsdata.contoso.com SQL Exception State: 3 SQL Error(s): Exception Data Dictionary: HelpLink.ProdName = Microsoft SQL Server HelpLink.ProdVer = 11.00.2100 HelpLink.EvtSrc = MSSQLServer HelpLink.EvtID = 206 HelpLink.BaseHelpUrl = http://go.microsoft.com/fwlink HelpLink.LinkId = 20476 Exception Stack Trace: at System.Data.SqlClient.SqlConnection.OnError(SqlException exception, Boolean breakConnection, Action`1 wrapCloseInAction) at System.Data.SqlClient.TdsParser.ThrowExceptionAndWarning(TdsParserStateObject stateObj, Boolean callerHasConnectionLock, Boolean asyncClose) at System.Data.SqlClient.TdsParser.TryRun(RunBehavior runBehavior, SqlCommand cmdHandler, SqlDataReader dataStream, BulkCopySimpleResultSet bulkCopyHandler, TdsParserStateObject stateObj, Boolean& dataReady) at System.Data.SqlClient.SqlDataReader.TryConsumeMetaData() at System.Data.SqlClient.SqlDataReader.get_MetaData() at System.Data.SqlClient.SqlCommand.FinishExecuteReader(SqlDataReader ds, RunBehavior runBehavior, String resetOptionsString) at System.Data.SqlClient.SqlCommand.RunExecuteReaderTds(CommandBehavior cmdBehavior, RunBehavior runBehavior, Boolean returnStream, Boolean async, Int32 timeout, Task& task, Boolean asyncWrite) at System.Data.SqlClient.SqlCommand.RunExecuteReader(CommandBehavior cmdBehavior, RunBehavior runBehavior, Boolean returnStream, String method, TaskCompletionSource`1 completion, Int32 timeout, Task& task, Boolean asyncWrite) at System.Data.SqlClient.SqlCommand.RunExecuteReader(CommandBehavior cmdBehavior, RunBehavior runBehavior, Boolean returnStream, String method) at System.Data.SqlClient.SqlCommand.ExecuteReader(CommandBehavior behavior, String method) at System.Data.SqlClient.SqlCommand.ExecuteReader(CommandBehavior behavior) at Microsoft.TeamFoundation.Framework.Server.TeamFoundationSqlResourceComponent.Execute(ExecuteType executeType, CommandBehavior behavior)