If you let Word compress the images (which includes both re-scaling and recompressing the data), you really don't need to make any changes to them in another program. As for the file sizes, jpg images, for example, are already highly compressed, so the only reductions you'll see when they're added to a Word document is if the inserted size was significantly above 220dpi and/or the image used less compression than Word does.
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Cheers,
Paul Edstein
[Fmr MS MVP - Word]
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