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buckethead34

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Remove rights to install programs

I have a Windows 2003 and Windows XP environment. I would like to limit users' rights so they can't install programs, but don't want to make it an administrative nightmare. So as long as they can't install programs that would be the main thing I would want to limit. But I would also like to give the supervisor of that department a password or let his user have the rights to install the software. So I guess I want to get prompted for a password when an installation tries to take place and give certain users permission to do so. Thanks in advance.
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This software : Install-Block : sounds like it does what you want to be done. Stops installing and prompts for a password. Looks like it has other features too. Unfortunately it's $20 to buy.
I guess a link would be nice
http://bashsoftware.net/
buckethead34--Windows Steady State will work for XP.  I do not know about 2003.
http://www.microsoft.com/windows/products/winfamily/sharedaccess/default.mspx
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buckethead34

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Is there a way to do this through a group policy does anyone know?
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I didn't see it noted in the question, are your users part of local admin group? If so, removing them should deny them the ability to install software. But I understand the occasional need of having users as local admins. :)
Yes my users are local admins, I don't want to cause myself extra work in regards to being able to map a drive, put in a shortcut, etc.