I thought this was a pretty neat application. It helps you to clean up your desktop icons and keep said icons together. You can group together your Microsoft Office icons, your game icons, your media player icons, and the list goes on and on.

http://www.stardock.com/products/fences/

If you would like to read a review that has screenshots, look here: http://www.neowin.net/news/main/09/0...tardock-fences

Oh, and it works with XP, Vista, and 7.