Microsoft Office Visio 2007 WBS Modeler
I have some good news for those of you that would like to create your project WBS using graphical representation of elements. Microsoft has enabled this feature using Visio / Project integration tool available as a free download.

The Application enables effective integration of Microsoft Office Visio 2007 with Microsoft Office Project 2007. It provides an approach to visually and graphically create, edit and modify project plans using Visio 2007. The WBS Modeler can either be used to visualize and edit an existing project plan or to create a new project plan in Microsoft Office Visio 2007 and then export it to Microsoft Project Professional 2007 to carry out the next planning steps. The WBS can be exported back to Microsoft Office Project Professional into a new project plan. It is also possible to update an existing plan. However this update process is limited to deleting, renaming or adding elements. Moving elements is not supported at the current stage.
So give it a try and let me know what you think...