Having Physical access to a machine trumps ANY security you might put in place. This isn't "bypassing" anything. Calling this a "security bypass" is like saying smashing a PC with a sledgehammer is a DOS or that burning down the building is a DDOS. It's applying terms related to software security to failures of physical security.
If you have Physical Access to a machine, you can do anything you want with it. it doesn't matter what security is put in place. You already have complete control over the PC by virtue of the physical access. If you have physical access you can swap hard drives, reinstall the OS, etc.
Of course, sometimes, the systems are physically locked down. Cases locked, BIOS settings restricted, etc.
For those cases, this sounds like a tantalizing way to get administrator permissions.
Which is why Automatic Startup repair can be disabled via bcdedit.
