I took it upon myself to streamline Java updates in our organization without having to purchase a service like patchmypc.net, ManageEngine's Patch Manager, or Shavlik Patch. After using the MSI installation files extracted from the offline Java installers and adding them to WSUS using SCUP 2011, I found that older versions were not being removed automatically. I tried setting the STATIC=0 flag, but that did not work. So, to end the story, I wrote a Powershell script that will look at the Java website for the "Recommended" Java version and uninstall all previous versions of Java whose name follows the string "Java*Update*". I based the web site parsing part of the script on the code I foundhere.
Please note that I have not extensively tested this script, nor do I have any proper error trapping/correction in it, but so far it seems to...