I already wrote how trilled I am with the ability to publish SharePoint content directly from Word 2007.
If are looking to create a blog site that will allow all users to contribute you will need to setup user permissions correctly. By default, Blog Posts list requires approval, but contributors are not allowed to approve. That issue will result in their inability to publish posts from Word directly. They will receive an error: “Word cannot publish this post” and their post will not be saved.
In order to resolve this issue, you will need to:
1) Disable content approval for blog posts list
2) Allow contributors to create and approve content
In my next post I will try to provide some ideas on how to increase adoption of your intranet portal.