Virtual Server Deployment Manager (VSDM) provides a streamlined way to manage and deploy Virtual Machines. Using this tool, regular users (not just administrators) will be able to create and manage their own machines, without impacting other users' machines.

Thanks to Dugie to dropping me a line to tell me about version 1.3 of this product which was just released. This sounds pretty cool - I'll hopefully get a chance to play with it over the weekend or early next week to report back any tips or tricks. Please note though that this is an unsupported tool

Here's the download link
VSDM is written by Nelson Araujo. Check out his project home page here where there's lots of useful information.