Making words is a fun part of our day.  We make our word wall words with people.  The consonants are black and the vowels are red.  The students put on the letters and we act out the word.  (I bought the vests at a school supply store in the sports section.  Then I added a strip of velco in the center and cut the letters out of heavy material so the children could manipulate everything without breaking them..)
Making rhyming words is so much fun!  We remember our spelling words better when we make them.
Mrs. Willson's Very Excellent Making Words Adventure