When trying to move an ESXi host to a cluster that is not configured to use "Manage with a single image"
The operation is not supported on the object. The operation to move the vSphere Lifecycle Manager image-managed standalone host to the baseline-managed cluster is not allowed.
VMware vCenter Server 8.0.x
VMware vCenter Server 7.0.x
ESXi host was added to the vCenter inventory with the option of "Manage host with an image" selected
Option 1:
Remove the ESXi host from the inventory and re-add the ESXi host back into the inventory and not check the box to "Manage host with an image"
Option 2:
Convert the Cluster to use "Manage with a single image"