This is Applicon, a utility for System 7.0. Applicon places a "tile" on your desktop for each running application listed under the Application menu. Each tile displays the icon and name of "its" application. Clicking the tile brings its application to the front, the same as if you'd selected that app from the Application menu. Option-clicking will hide the current app's windows before bringing the selected app to the front.
Applicon is nice because you can see what's running without pulling down a menu, and because the tiles are easier to manage than menu items: you don't have to stop and read, and you don't have to be too precise with the mouse.
Since the tiles can be covered by other windows, you can select "hot spots" in the corners of your screen: just jam your mouse into a "hot spot" and the tiles will come to the front. Applicon will remember and save your preferences for which corners are "hot spots", and where the tiles are placed on your screen.
Applicon is a fully compatible System 7.0 application that shows how some things that used to require INITs can now be done with a small app. You can launch Applicon at any time, but it's most convenient to simply drop it into your Startup Items folder inside your System Folder. It features full on-line help, including Balloon Help. It is free.
Copyright 1991 by Rick Holzgrafe. All rights reserved.