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PSconfig fails when it was trying to register the SharePoint Services. This happens only on standalone servers.


Open registry and browse to:
HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Office Server\15\LauncherSettings

Create a key: DWORD
 Name : AcknowledgedRunningOnAppServer
Value : 1 

Now go to below registry listing:  
HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Office Server\15\LoadBalancerSettings

Create a key : DWORD
 Name : AcknowledgedRunningOnAppServer
Value : 1 
Now rerun the PSconfig and all will be good.