Love the shoe hanger idea! I'm going to get on that.
I still have a lot of work to do around here, but here are some things that have been helpful for us...
I'm in the process of moving our CD collection off the shelf (which my son wants to topple over) and into CD binders. It's going to take up a fraction of the space, and I should be able to sell the cases and get back the money I spent on the binders.
We turned our den closet into a storage area by putting in a plastic shelving unit that could fit bankers boxes. The boxes hold all of my fabric and craft supplies and everything is easy to get at.
We use shoe boxes for loose photos, cards, papers, notes on the kids (stuff that hasn't made it to a scrapbook yet), etc. They get stacked on the top shelves of our closets.
The kids' clothes is kept in the closet in a shelf with pull-out baskets. There's a basket for socks/underwear (and the socks are sorted in a shoebox), one for pajamas, one each for tops, one each for bottoms. By keeping everything in the closet we don't have to take up a lot of floor space with dressers.
And our best move toward being more organized has been to get rid of things. I keep going through and tossing more and more stuff. I figure if we don't have it, we can't make a mess with it!