It's been driving me crazy. Somehow I managed to change a setting on the default windows folder explore so that now files no longer snap to a grid. If I view files as thumbnails and drag and drop a file it will land exactly where I dropped it, overlapping with the icons of other files. It's an organizational nightmare. I want my old snap to grid system back so that I can actually order files.
Turn "auto arrange" back on. It might be under folder options. or you might have to right click, go to view and find auto arrange, then apply to all folders via folder options. or you can set it in the registry.
Thanks Kaolian. Auto arrange and align to grid were the options I needed to turn on. I had been searching everywhere in the options tab when the options were located in the view tab.