1. Install WSUS service on a Windows Server
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Server Manager >> Add Roles >> Windows Server Update Services (which includes IIS) >> Next, Next, Next >> Install >> Store updates on a storage that has plenty of space (i.e. D:\ drive)
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Run: CMD >> firewall.cpl >> enable Windows Update Services through firewall, port 8530
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Choose all default options for set-up: Windows 7, Office, etc.
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Install MS Report Viewer:
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Run these commands:icacls C:\WINDOWS\TEMP /grant:r “NETWORK SERVICE”:(OI)(CI)F /grant:r “NETWORK SERVICE”:(OI)(CI)Fdel %appdata%\microsoft\mmc\WSUS
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Install .NET Framework 3.5
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Set automatic update approval settings- 
Browse to Options >> double-click Automatic Updates to bring up the “Automatic Approvals” dialog window.
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In Update Rules, click New Rule.
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In the Add Rule dialog box, under Step 1: Select properties, select whether to use update classifications or products (or both) as criteria.
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In Step 2: Edit the properties, click the underlined properties to select the values for which you want automatic approvals.
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In Step 3: Specify a name, give a name to the rule.
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Click Run Rule
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Click OK.
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In the WSUS administration console, click Options, and then click Automatic Approvals.
 
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2. Group Policy Manager
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Open Group Policy Management >> choose {Domain} >> right-click Default Domain Policy >> open Policies, Administrative Templates, Windows Components >> click on Windows Update >> click on Standard tab >> right-click Specify Intranet Microsoft Update Service Location >> Edit >> select Enabled, type server name (e.g. http://DC01:8530) >> click OK >> right-click Automatic Updates >> Edit >> choose Enabled >> click OK
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Run Update Services to check that WSUS is running >> click All Updates >> set approval = Unapproved, Status = Any >> click Refresh >> choose the update title and click approve
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Run gpupdate.msc
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Run cmd >> wuauclt.exe /detectnow
3. Optional set up Group Policy manually on client PC
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Run: GPEDIT.msc >> navigate to Computer Configuration > Administrative Templates > Windows Components > Windows Update
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The following need to be enabled and edited:1) Configure Automatic Updates- 
Enabled
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Configure automatic updating: 3 – Auto download and notify for install
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Scheduled install day: 0 – Every day
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Scheduled install time: 15:00
 
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2)      Specify intranet Microsoft update service location
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Enabled
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Set the intranet update service for detecting updates: http://WSUS01:8530
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Set the intranet statistics server: http://WSUS01:8530
 
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3)      Automatic Updates detection frequency
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Enabled
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Check for updates at the following interval (hours): 1
 
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Run the following commands to force the client to report to the WSUS server:gpupdate /forcewuauclt.exe /detectnow
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If machine still doesn’t register with WSUS server(s), Install WSUS SP2:
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