Word 2007 has a ton of great effects that can be added to pictures in your documents, and they are all quickly accessible via the Format tab on the Ribbon.

For instance, if you want to add a border to your picture, just click the Picture Border drop-down button, where you can change the type of border you want, the colors, or the line thickness.

You can take this even a step further and add glowing effects or even 3D effects to your pictures by using the Picture Effects drop-down button. 

What’s great about this feature is that as you move your mouse over each option, it will automatically show you a preview in the document.

As you can see I got a bit carried away with these options!  My advice is to experiment and have fun!