This issue arrives when we try to update the record owner of any object and the owner of the record is a queue.
If you have a process builder configured in your org, responsible for changing/updating a record owner and it throws this exception at the time of execution, please perform the following checks. Assume that I am updating an Incoming SMS owner, pulling the owner from a Lead record, upon its creation. Which means, whenever a new Incoming SMS is received, the Lead owner is set as the Incoming record owner as well.
The first check would be to check the datatype of the Owner field.
When these settings are done, please check that the Queue associated to Lead object should be applicable for the Incoming SMS object as well. To check the same, go to Setup -> Queue -> Open the respective queue.
You can add more objects in the "Supported Objects" section and then check again. The issue should be resolved