In short, no. If an endpoint appears in Computer Management with a Connection Type of Local, this indicates that the this specific endpoint was successfully able to contact the SmartDeploy API Service that is running on that specific console using its local API Service URI:
https://consolehostname:8080 (e.g.).
This is expected behavior if the endpoint is running on the same local network as the console host, so if you see an endpoint that unexpectedly appears with a Connection Type of Cloud, this may indicate a communication problem that needs to be addressed.
If the endpoint is unable to reach the console host via that local API Service URI (which is expected behavior if the endpoint is off-site), then it will appear with a Connection Type of Cloud instead.
See Force a Cloud Connection for further details.