I work for a small liberal arts college, and in many ways this is the IT model we have, in many ways because we can't have control: students come with whatever computer they like, and the faculty (who have a lot of power here) can't be hindered from writing their own programs, collaborating with other faculty in other colleges with other software, etc.
So we secure the infrastructure, we lock down the administrative systems and keep it behind a massive firewall, and we do our best to make sure all Windows users have antivirus and antispyware (while not blocking Linux and Mac users). Students, faculty, and staff can download and install concurrent-license copies of Photoshop, etc., and we have very low academic prices for Microsoft Office and now for Leopard and iWork.
If someone calls us because they can't get something academically-related done, we do our best to give them permissions to do so as soon as possible, and try to fix it so similar people in the future won't have that problem at all (unless it does lead to a real security issue). If they ask us, "How do you do this?" we have standards and recommendations for them, which makes it easier to support, but we won't stop people from doing it another way. For example, we're on Exchange, but we support Thunderbird and Mac Mail as well as Outlook/OWA/Entourage. And we still have some Eudora and Netscape Mail and Pine nd who-knows-who-else users, and so we have IMAP setup instructions on our web site and good luck to them.
Google bases a lot of their company on higher education, so it's not really s surprise to see this -- but it's an example that other companies may want to emulate, even if not all their employees are engineers. Many of our students barely know computers beyond word processing, web surfing/social networking, and IM, yet network security and monitoring for sudden traffic surges, combined with good free (for them) antivirus, means it's very unlikely they'll get themselves into trouble -- and if they do, tech support sweeps in and cleans it up ASAP. That's a model where the vast majority can figure it out for themselves, and it would help businesses to trust their own employees enough to do so.