You'd be surprised what a difference you can make just by re-arranging a little furniture. Consider the following:

• Keep people from crowding the kitchen by creating fun or play spaces in another area. For adults, set the bar in the living room or the crudite in the den.
  
• Resist the urge to make a ring of seats around the living room, an concentrate on arranging several "conversation areas" — three or four seats in several different areas where people can sit and chat.
  
• It's particularly important to establish a place away from the adults where kids can go and relax and be kids.