Just a little personal reflection... While I never had trouble "doing" the math (as shown in the old way of multiplying) I had no understanding of what it meant. Now, having learned the second way--WITH manipulatives--I can now picture a problem like that (36x24) in my head and do it mentally. No paper. No calculator. That, for me, is a huge step forward.
Also, check out the new Math Teachers at Play Blog Carnival hosted at MathInsider. You're sure to find a lot of new ideas there!