KrossCut, that's all very good advice. Thanks for that. However, this is a completely different type of logging. Basically, I'm making a short documentary. It's not possible to log while on the "set". I have to watch it afterwards, and take DETAILED notes of everything that's happening, and a near-verbatim transcript of everything that's said (ideally, it would be perfectly verbatim, but I don't have that kind of time). For these purposes, logging doesn't just make editing smoother -- a proper edit isn't even possible without the logging.
To answer your question, I'm using Sony Vegas. However, I'm not logging the footage in my software, the way you mention, because that wouldn't help me for what I'm going to do with this logged info.
Once I have the transcripts in front of me, I cut out all of the sound-bites that I like. I group the sound-bites together that are related to a similar subject. Then, I arrange the sound-bites in order, to piece together a coherent narrative. I'm basically writing a script, using the sound-bites that I have available to me, and I really need to be able to physically move them around, on little pieces of paper.