Since space it at a premium in my tiny house, I use this method...
First all my material is stored in drawers in my basement. I use several sets of plastic "flat" files (stack on left side of picture) for feathers, flashabou, rabbit hides, hook storage boxes, deer hair, etc. I use a set of plastic pull drawers made for screw/nail storage (on middle shelf on right side) for beads, thread, wire, rubber legs, and other misc. small stuff. All my flies are stored in another set of plastic drawer cases or tackle boxes (top shelf and middle shelf left side). So it is all packed into a small area.
Like craig, I tend to tie one style of fly at a time. I grab all the material I need for a given pattern and then find a nice place to sit. I've recently started attaching my vice to a board, so I can really sit anywhere in the house. My vise has a small light attached, so lighting is always good no matter where I'm sitting.
That's it! Hope that helps.
-jamie s
p.s. Yes, that's my bobber collection hanging from the cieling. If I'm not catching a lot of fish, I like to hunt for bobbers.