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Like a lot of things in life (and in fashion!), there are no strict rules when it comes to the details of closet organization. I think it all comes down to two things: the amount of space available and how a person goes about getting dressed every day.
For example, I have more shelves than rods in my closet, so I fold my jeans, pants, shorts, and sweaters. These items could just as easily be hung on hangers if it were the other way around. If I do hang a sweater, I fold it and place it over the bar of the hanger – rather than hanging it like a shirt – to avoid getting those funny-looking little pucker indention things (notice my use of highly scientific closet organization terminology) on the shoulders.
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Everyone has their own way of choosing what to wear, and I think getting dressed is easier if the closet reflects that. If a person picks their outfit by saying, “I feel like wearing pink today,” then color-based organizing would probably work great for them. If they’re like me, however, and have a mini-meltdown need to take a very deep breath before shopping in stores that group things according to color, then that system might not work out quite so well. It’s all about what works best and makes life easier. Personally, I separate jeans by fit (i.e. skinnies, trouser, boot); pants and shorts by print vs. solid; sweaters by type and thickness (i.e. cardigans, turtlenecks, etc. and heavy vs. light); and shirts by sleeve length first, then print vs. solid.
Click here to read the previous closet organization post 
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And THIS is why you’re my best friend. I had no idea you organize your closet that way. That’s exactly how I organize mine too. Jeans folded according to style. Shirts hung according to sleeve length then by color/pring. Coats hung up according to heaviness. Dresses hung according to length. Dress pants hung by color.
I’m going to have to also begin switching to those skinny space saver hangers for most of my shirts and lighter clothing. The wood hangers are taking up too much space and the closet I now have is about 1/4 the size of my old closet.