The method we use is that all of the packages are stored in the root of [Public Folders] and all of the reports are stored in a separate tree structure. This way you are flexible to organise your reports any way you like independant of the scope of your packages.
This structure would look something like this:
Public Folders
Package: Financial
Package: Sales
Package: Human Resources
Folder: Library
|-> Folder: Management
|-> Folder: Finance
|-> Folder: Sales
|-> Report Sales Forecast
|-> Report Sales Performance for each Employee
However it all depends on your demands and what "problems" your undergoing now in organizing your objects. Maybe you can tell us more about the background of your question? Then maybe it's possible to decide what will work best for your situation.