Best Practice is such a buzz word, I hate to even use it. However, does anyone have or have found any papers or information on the best practices on converting CAD data? I'm using the spatial adjustment toolbar after converting the data to feature classes to line up the data with my existing parcels. But I'm wondering how many links to use and what kind of RMS I should have. Also I'm using the edge snap method but I wonder if I should change it to rubbersheet.
I have had a great deal of success with using the georeferencing toolbar for CAD files. Limitations are that you must know the projection of the CAD drawing and that you can only move 2 control points at a time (as per 9.3.1). They added this function in 9.3 I think. I've succesfully georeferenced hundreds of CAD drawings by georefencing the .dwg layer and then converting to GIS.
It's not perfect but so much faster than using the spatial adjustment toolbar.