Is it Possible? Applications Groups in Dock

Yep, in Leopard your problems will be answered.

What you could do is group similar applications in folders, and then have the folder on the right of your dock, all you do is right-click then to see the contents and choose an app.

There was a application I had that grouped applications in the central area of the dock, but I forget it's name, I'll try find it for you.

Edit: Overflow

I'd personally just use Quicksilver to launch the applications I want. I find it a lot faster and convenient than having a large dock, but that's just personal preference.

You could always give it a shot though.

Just get a launcher to make life easier. Quicksilver, LaunchBar, Butler, Overflow, Trampoline are some examples.

If you are not too keen on the ideas above (though I thoroughly recommend Quicksilver), you can use aliases.

My friend does the following:

Create a new folder called Application groups or a name of your choosing

In this, create sub folders of your choice, such as Creative Suite, Office, Browsers...whatever.

Right click on all of your Office apps and choose Create Alias. Drag all of these into the Office subfolder. Same for CS2/3 apps, browsers, games or whatever you actually want to group them as.

Drag the Application Groups folder to the right side of the dock.

Now, to get access to these sub groups, just right click that folder in the dock.

...Or you could wait a few months for Stacks in Leopard.