Okay, so presumably you're single user running the BIM Server and ArchiCAD (and BIM Server Manager) all on the same computer? Did you get to that screen on the same computer (liliam-seows-imac-2.local) as you use ArchiCAD on?
In any case, just run the hotfix on that computer and follow the prompts. When it prompts you to update ArchiCAD, just hit Next and it will prompt you to update the BIM Server and the BIM Server Manager (assuming you have loaded the BIM Server Manager).
It may help to know that you are dealing with three things:
1. ArchiCAD (the client)
2. BIM Server (the server)
3 BIM Server Manager (a small app that lets you control the BIM Server from any computer).
Although this can be done all on one computer, it is holistically designed for the BIM Server to be on a separate dedicated machine, the clients spread out around the office (or world) and the BIM Server Manager for select people to control the BIM Server from their client machines.
Hope that clears it up a little.
Cheers,
Link.