I ran across this really good article today. It talks about how you can use SVS to manage application compatibility.
Here is a juicy tid-bit from the article:
"...you should seriously consider moving to software virtualization during your Vista migration. Software virtualization allows you to package applications once and only once to deploy them to your PCs. Virtualized applications do not touch the operating system so your systems stay pristine at all times."
Take a look, it should be well worth your time!
Here is the link to the article:
How To Manage Windows Vista Application Compatibility