i just turn the cable around so it falls over the back. I like it how where it is, because if you have it docked, you can play it though 2 sets of speakers (one though headphone jack, one though dock), giving a fuller sound that just one set.
I have an alarm clock with an iPod dock built in, and I play music though the speakers and the alarm clock and my Altec Lansing 2.1 speakers, and the sound is much fuller than it would be if the speakers were played individually.