“What are the consequences for team members not completing their updates?” There are no real consequences. If the PM is of a certain personality type, he or she might call out the behavior in the context of a team meeting, but that does not always happen.
Our company has not mandated the updates because we already have so many disparate systems with which employees are expected to interact. Various engineering supervisors have different attitudes about what their people should have to do. PWA updates would certainly help the PM out, but they are not critical, since the PM can still do the updates just as before Server came along.