Interpolation of discrete data to discrete polygons or regions

Idea created by claire_thurlow-eagle-co-nz-esridist on Aug 9, 2011
    Standard ArcGIS Spatial Analyst tools allow you to interpolate a continuous surface from a series of points. It would be useful to have a tool that interpolates discrete polygons and/or regions from discrete point data. This fuctionality would be similar to the Create Thiessen Polygons Tool but would need to create smoother natural boundaries between the polygons rather than the block like / man made boundaries that the Thiessen Polygons tool creates.