Dear Ratandeep,
I have tried and tried again all the three proposed solutions; none works.
It is now quite three weeks that I cannot install this critical update. Message is always the same from the same step: at "...configuring Windows updates 99% > Failure configuring... > Undoing changes > Failure configuring.... >" and 75 to 80 minutes later
"Restarting your computer".
I have been obliged to switch off the automatic update installation as I was loosing huge time each time I was switching my computer on or off.
While trying the third solution you are proposing, I am getting the following (with line spaces as they appear:
(quote start)
Deployment Image Servicing and Management tool
Version: 6.3.9600.16384
Error: 87
The online/cleanup-image/scanhealth option is unknown.
(quote ends with invitation to run DISM.exe/? where corresponding option does not exist)
My PC runs under Windows 8.1, and has been updated without any problem before.
FYI, I cannot install update KB2961908 and KB907417 too; all other updates received yesterday have been installed properly.
Your advices will be welcome.
Best