I am looking for a way to keep all IIS settings, modules and Sitecore versions in sync across multiple developer environments in a team setting. Is there a way to use Sitecore Instance Manager (SIM), or other tools, to automate a development environment setup?
Another options would be to use VMware kind of software to take snapshot of complete installation of a dev machine and then create developer machines using that snapshot.
SIM is not the tool for your requirement. You can use it to create quick instance. But, not a tool provide sync environments across developer machines.