Zwift racing with erg off - Adaptive Training?

My question applies to both outdoor rides and other indoor non-structured rides like Zwift racing. Sorry if I’ve missed it in the FAQs and other threads.
If I load a TR workout from my plan but turn ERG off and then do a Zwift race, does the effort level get taken into account and other relevant adaptations get applied? Or does it just think that I completed the ride (without hitting the right intervals) and it applies the adaptations from the plan? Same as what apparently happens after applying an outdoor ride?
If that makes sense?