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Information Technology (IT) service and staffing models are increasingly being reduced in the wake of recession, which often limits focus for long-term innovation, as the remaining services and staff are focused on producing short-term requirements. Despite these cutbacks, organizations must continue to innovate and provide contributions to the set of stakeholders. This paper explores identified industry best practices for IT service and staffing models that can be utilized to ensure adequate resources are dedicated to achieving innovation. In addition, a review of the capacities and capabilities which fall under the new IT service and staffing models are developed in the form of an innovation matrix. This approach reduces IT requirements to focus on key strategic service areas, with considerations for reduced staffing needs during periods of economic downturn.